Bitwise Asset Management has launched a Solana staking exchange-traded product (ETP) in Europe, providing investors with an enticing annual percentage yield (APY) of 6.48%.
Bitwise, a leading crypto investment firm, has recently launched a Solana staking exchange-traded product (ETP) in Europe. This product, trading under the ticker BSOL, provides investors with an annual percentage yield (APY) of 6.48%. It marks Bitwise's continued expansion in the European market and complements its efforts to obtain regulatory approval for a Solana ETF in the United States.
Launched on December 17, BSOL offers several key features. It has a management fee of 0.85%, which is lower compared to competitors like 21Shares, whose similar offering carries a fee of 2.5%. This, coupled with the higher APY, makes BSOL an attractive option for investors seeking exposure to Solana staking rewards.
The product was created in collaboration with Marinade, a self-custodial automation tool, to ensure a secure and efficient staking process for investors. “Solana is one of the rising stars in the blockchain ecosystem, and we’re thrilled to introduce BSOL as a way for investors to access staking benefits more easily,” said Hunter Horsley, CEO and Co-Founder of Bitwise.
This is not Bitwise's first venture into Solana products. In August, the company launched an ETP on Solana, called ESOL, as part of its acquisition of nine European-listed crypto ETPs from the ETC Group. While ESOL does not offer staking rewards, BSOL incorporates staking as a core feature. It marks the third staking ETP Bitwise has launched in 2024, following the introduction of Ethereum and Aptos staking products earlier in the year. With this growing lineup of ETPs, Bitwise now manages over $4.5 billion in assets.
As Bitwise strengthens its presence in Europe, the company's sights are still set on achieving regulatory approval for a spot Solana ETF in the U.S. Bitwise has taken steps in this direction by registering a statutory trust in Delaware, indicating its commitment to navigating the regulatory hurdles posed by the U.S. Securities and Exchange Commission.
Industry experts are optimistic about the eventual approval of a U.S.-based Solana ETF. Matthew Sigel, head of digital asset research at VanEck, has predicted that approval could come as early as the end of 2025. If realized, this would open up new avenues for U.S. investors to gain regulated exposure to Solana.
There's a good reason for Bitwise's emphasis on Solana. The blockchain has quickly become one of the most exciting ecosystems, attracting both developers and institutional investors. According to a recent report by Electric Capital, Solana surpassed Ethereum in onboarding new developers for the first time since 2016. Out of 39,148 developers who entered the blockchain space in 2024, an impressive 7,625 chose Solana as their first platform, compared to 6,456 for Ethereum. This is largely due to Solana's fast transaction speeds, low costs, and robust developer tools. This momentum has also led to increased institutional interest, with Solana-based decentralized applications (DApps) securing $173 million in funding across 29 deals in Q3 2024 alone.
Bitwise's latest move with BSOL highlights the company's adaptability and commitment to innovation in a rapidly evolving crypto market. By offering competitive yields and low fees, BSOL not only enhances investor access to Solana staking but also strengthens Bitwise's position in the European market. As the company awaits U.S. regulatory approval for its Solana ETF, its strategic expansion in Europe and focus on high-growth blockchain ecosystems like Solana bode well for the future. With a strong track record and growing portfolio, Bitwise is well-positioned to cater to both retail and institutional investors seeking exposure to the next generation of blockchain technology.
