Solana ETFs With Staking Could Boost Proof-of-Stake Adoption in Institutional Portfolios

Asset managers are intensifying efforts to secure U.S. regulatory approval for

exchange-traded funds (ETFs), now including staking mechanisms in their proposals. Analysts anticipate that regulatory consent could come as soon as October. Leading companies such as Grayscale, Fidelity, Franklin Templeton, Bitwise, and VanEck have all revised their S-1 filings with the Securities and Exchange Commission (SEC), reflecting increasing institutional optimism about Solana’s prospects and regulatory fit. These updated filings, which feature staking—allowing funds to earn returns by participating in Solana’s proof-of-stake protocol—demonstrate a deliberate move to set these ETFs apart from standard crypto-tracking funds. Bloomberg’s James Seyffart observed that the coordinated filings indicate productive engagement with regulators, while ETF expert Nate Geraci suggested approval could arrive within two weeks, pointing to the SEC’s recent efficiency in handling digital asset submissions The Blockchain, [ 1 ].

Regulatory conditions have become more favorable for crypto ETFs, especially after the SEC introduced a streamlined process for Ethereum-based products. This new approach removes repetitive obstacles, shortening the approval period for straightforward applications from 240 days to just 75. The precedent set by

ETFs, combined with Solana’s technical strengths, has fueled momentum for Solana-focused offerings. Geraci highlighted that adding staking to Solana ETFs could open the door for similar features in Ethereum ETFs, a long-standing objective for issuers. The SEC’s revised guidelines and the rising institutional appetite for yield-generating investments are accelerating this trend CoinCentral, [ 2 ].

Interest in Solana-based investment products is climbing worldwide. In Europe, Bitwise’s Solana staking ETP saw $60 million in new investments within its first five trading sessions, while REX-Osprey’s U.S.-traded Solana staking ETF attracted $10.6 million in daily net inflows and surpassed $250 million in assets under management within two months The Blockchain, [ 1 ]. These numbers highlight the attractiveness of staking, providing investors with both Solana price exposure and extra income from staking rewards. Grayscale’s CoinDesk Crypto 5 ETF, which includes Solana and

, also saw strong demand, reaching $22 million in trading volume on its first day The Blockchain, [ 1 ]. The ability to earn yield while tracking a volatile asset’s price is prompting institutions to rethink their crypto investment strategies.

Staking is a major distinguishing factor for Solana ETFs. Unlike conventional crypto funds that only follow price movements, these ETFs can distribute staking rewards—either as cash or

tokens—to their investors. This dual-income approach boosts net asset value (NAV) and may appeal to a wider audience, including those interested in passive income The Blockchain, [ 1 ]. For instance, REX-Osprey recently converted its Solana ETF into a regulated investment company, removing federal and state taxes at the fund level and further enhancing investor returns The Blockchain, [ 1 ]. Experts believe that ETFs with staking could encourage broader adoption of proof-of-stake blockchains, positioning Solana as a central component in institutional portfolios.

The possible approval of Solana ETFs by October could represent a significant milestone for the blockchain industry. As the SEC faces calls to update crypto regulations and institutions pursue yield, the integration of traditional finance with blockchain is gaining speed. Should these ETFs be approved, they may spur further innovations, such as staking-enabled Ethereum products and expanded altcoin offerings. The results of these applications are likely to shape the future of institutional investment in digital assets, solidifying Solana’s position as a link between advanced blockchain technology and mainstream finance.