Staking-Enabled Solana ETFs Close to Approval as Regulators Indicate Institutional Crypto Transition

The U.S. Securities and Exchange Commission (SEC) is expected to soon authorize the first

(SOL)-based exchange-traded funds (ETFs), after a wave of revised S-1 submissions from leading asset managers that now include staking features. This week, Grayscale, Fidelity, Bitwise, VanEck, and others updated their applications, reflecting growing institutional trust in Solana’s adoption. Market observers, such as Nate Geraci from NovaDius Wealth Management, anticipate SEC approval within two weeks, noting the agency’s recent speed in handling crypto ETF applications . These amendments allow funds to earn extra returns by staking Solana, with rewards distributed to investors either as cash or , potentially boosting net asset value (NAV) and setting these ETFs apart from conventional crypto funds .

Staking, a central feature in these proposals, reflects broader regulatory changes. In September, the SEC simplified the approval process for Ethereum-related products, removing redundant steps and allowing for more uniform listings. This move could accelerate the approval of Solana ETFs, eliminating the need for individual reviews. Bloomberg’s James Seyffart pointed out that the simultaneous amendments from all major issuers suggest coordinated regulatory action. Through staking, funds can engage in Solana’s proof-of-stake system, earning rewards that add to fund income and benefit shareholders.

Interest in Solana-based investment products is rising globally, further supporting the momentum behind these filings. Bitwise’s Solana staking ETP in Europe saw $60 million in inflows over just five trading days, while the U.S.-listed REX-Osprey Solana Staking ETF attracted $10.6 million in net inflows and exceeded $250 million in assets under management (AUM) within two months. REX-Osprey also transitioned its fund to a regulated investment company, removing federal and state taxes at the fund level and enhancing tax efficiency. Grayscale’s multi-asset CoinDesk Crypto 5 ETF, which features Solana and

, achieved $22 million in trading volume on its first day, highlighting the growing appeal of diversified crypto investment strategies .

The regulatory landscape for crypto ETFs has changed quickly, with the SEC’s recent approval of Grayscale’s Ethereum products marking a move toward more standardized processes. This shift, along with the addition of staking in Solana ETF filings, could pave the way for other proof-of-stake digital assets. Markus Thielen from 10x Research noted that

ETF staking could “significantly transform the market,” a view shared by Pantera Capital, which sees Solana as “the next major candidate” for institutional investment . Experts believe that the ability to earn yield through staking could broaden altcoin adoption and attract more capital to the crypto sector .

With 16 Solana ETF proposals among 96 pending crypto ETF applications, Solana is poised to take a leading role in the last quarter of 2025. Competition is heating up as firms compete for early investments, with staking becoming a crucial distinguishing feature. Grayscale’s move into diversified crypto funds and REX-Osprey’s tax-optimized approach highlight ongoing innovation in the sector. Should these ETFs receive approval by mid-October, they could help bridge the gap between traditional finance and Solana’s blockchain, boosting institutional involvement and market liquidity.