VanEck, Grayscale Launch Solana ETFs; price fluctuations, inflow key
Summary
- VanEck launched a Solana ETF on Nasdaq on Nov. 17, which offers institutional access, waiving upfront fees and passing on stake rewards to investors.
- Grayscale launched a spot Solana fund in late October, quickly amassing significant assets and sharing staking returns with investors after cutting costs.
- Solana’s price has recently fallen sharply due to volatile trading, while analysts expect ETF inflows to depend on the token’s market direction and critical support levels.
VanEck launched its Solana exchange-traded fund on Nasdaq on Nov. 17, offering institutional access to the cryptocurrency, the company announced.
According to regulatory filings, the fund was established with an initial basket purchased in late October. VanEck will waive the sponsor fee for the first tranche of assets for a limited period, although the ETF maintains a uniform expense ratio. State Street Bank will act as administrator, with cryptocurrency custody handled by two major custodians, the documents show.
The fund plans to invest a portion of its Solana (SOL) investments through third-party validators, with stake rewards increasing to the fund’s net asset value, the custodian said. The initial strike provider has agreed to waive its fee during the waiver period.
Grayscale launched a spot Solana fund in late October, having built significant assets by mid-November thanks to record inflows in the early days, making it the first US-listed Solana ETF. Grayscale charges a management fee and recently reduced staking fees until the fund reaches a certain size, passing on most of the staking returns to investors, company statements show.
According to market data, the price of Solana has fallen sharply in recent weeks and was trading well below the level of a month earlier (in mid-November). The token peaked earlier this year and has been correcting since then. Market analysts have identified a nearby price range as crucial support. A break below that level could send prices lower, while a sustained move above a higher threshold would signal weakening bearish momentum, analysts said. Trading volumes have increased due to volatility.
Some analysts predict significant combined inflows for Solana-linked funds in their first year. The performance of the new funds will depend on Solana’s price trajectory, according to market observers.
