Solana ETFs Set to Connect DeFi and Traditional Finance Through Staking Advancements

title1 [ 1 ] Seven leading asset management firms—21Shares, Bitwise, Fidelity, Franklin Templeton, Grayscale, VanEck, and Canary Capital—have updated their S-1 submissions to the U.S. Securities and Exchange Commission (SEC) for

(SOL) exchange-traded funds (ETFs), now featuring staking options. These revised documents, submitted in late August and September 2025, reflect recent regulatory input and demonstrate a unified approach to addressing the SEC’s questions about staking operations and redemption methods. The new filings specifically permit the ETFs to stake their Solana assets, allowing them to earn yields by participating in the blockchain’s proof-of-stake protocol title2 [ 2 ].

title3 [ 3 ] Staking has become a crucial element for these ETFs, enabling them to generate extra income by locking tokens to help secure the Solana network. Rewards from staking, which may be paid out in

tokens or cash, are anticipated to boost the ETFs’ net asset value (NAV), giving investors the benefit of both price gains and yield. This model is similar to staking ETFs, although the SEC’s earlier hesitation to approve staking for Ethereum products has led to some regulatory ambiguity. According to ETF Store president Nate Geraci and other analysts, the SEC’s recent endorsement of simplified “generic listing standards” for crypto ETFs—which shortens the approval process from 240 to 75 days—suggests a positive outlook for approval title5 [ 4 ].

title7 [ 5 ] Interest from institutional investors in Solana-based offerings has risen sharply, with early figures showing robust demand. The REX-Osprey Solana Staking ETF, which debuted in July 2025, saw $33 million in first-day trading volume and $12 million in initial inflows title8 [ 6 ]. In Europe, Bitwise’s Solana staking ETP attracted $60 million over five trading sessions, highlighting the asset’s popularity. Should they receive approval, the proposed U.S. Solana ETFs could quickly gain traction, especially since they distinguish themselves from

and Ethereum ETFs by offering staking rewards. Experts estimate these ETFs could see up to $5.5 billion in inflows during their first year if market conditions remain favorable title10 [ 7 ].

title11 [ 8 ] The SEC’s regulatory stance has shifted under President Donald Trump’s leadership, with the agency dropping lawsuits against major crypto companies and working more closely with industry participants. This more cooperative approach has sped up the application process for crypto ETFs, with 16 Solana-related filings currently under consideration—more than any other alternative cryptocurrency. The SEC is expected to make a decision by October 10, 2025, and prediction markets and analysts estimate a 90% chance of approval title12 [ 9 ]. If approved, this would set a benchmark for staking-enabled ETFs on proof-of-stake networks, potentially opening the door for Ethereum and other altcoin ETFs in the future title13 [ 10 ].

The possible approval of Solana ETFs marks a major step forward for the cryptocurrency sector, helping to connect decentralized finance with traditional investment markets. By providing regulated, yield-generating access to Solana, these ETFs could draw institutional investors and further establish digital assets as a mainstream investment option. Nevertheless, there are still obstacles, such as the SEC’s unresolved stance on whether SOL is a security or a commodity and the need for secure custody solutions. Despite these challenges, the collaborative actions of asset managers and the SEC’s changing regulatory approach indicate that Solana ETFs could be introduced by late 2025, potentially transforming the crypto investment landscape.