- The first Solana ETF on the NYSE launched on Tuesday.
- More than $220 million have traded in its first hours.
- A plethora of crypto ETFs are coming to the market.
The new era of crypto exchange-traded funds has kicked off with a bang.
On Tuesday, Bitwise’s new staked Solana ETF, dubbed BSOL, went live for trading on the New York Stock Exchange and did $220 million in trading in its first few hours.
“BSOL is beginning life with $220 million,” wrote Eric Balchunas, Bloomberg Intelligence ETF expert. “Impressive.”
It may have taken years before the first spot Bitcoin and Ethereum ETFs hit the market, but the next wave of funds is expected much sooner.
There are about 155 crypto ETF applications tracking 35 different assets awaiting approval from the Securities and Exchange Commission, according to Balchunas.
Solana and Bitcoin lead with 23 filings each, followed by Ripple-linked XRP with 20 and Ethereum with 16.
Market watchers expect over 200 new crypto ETFs to launch in the next 12 months.
The ETF explosion reflects the Trump administration’s crypto-friendly regulatory stance.
Under former US President Joe Biden, the Securities and Exchange Commission blocked most crypto ETF applications. But under Trump, the agency led by crypto ally Paul Atkins has approved products at a rapid clip.
Bitcoin and Ethereum ETFs launched in 2024 and have pulled in over $100 billion in combined assets.
Now altcoins are getting their turn, with issuers racing to file for everything from established layer-1 blockchains to niche DeFi tokens.
Securities Act of 1933
BSOL isn’t the first Solana ETF, but it’s the first registered under the Securities Act of 1933.
The ‘33 Act is a regulatory framework that provides stronger investor protections and better market access than previous products.
It also allows for in-kind creation and redemption of shares, making BSOL more accessible through traditional brokerage channels.
Other crypto ETFs — like DOJE and XRPR — have been structured under the 40-Act ETFs, a regulatory makeshift that allows firms to launch without waiting for the SEC’s rigorous approval process under the 1933 Securities Act.
The trade-off is more restrictive marketing and fewer distribution allowances.
Open the floodgates
Solana isn’t alone in launching.
Litecoin and Hedera Hashgraph, dubbed HBAR, ETFs also began trading on Wednesday under the ‘33 Act, expanding the roster of crypto ETFs beyond just Bitcoin and Ethereum.
After their first hour of trading, HBAR brought in $4 million, while Litecoin brought in $400,000, according to Balchunas.
Pedro Solimano is DL News’ Buenos Aires-based markets correspondent. Got a tip? Email him at psolimano@dlnews.com.