REX-Osprey Launches First U.S. ETF With Staking 40% Assets In Solana

Bloomberg's Senior ETF Analyst Eric Balchunas announced that REX-Osprey's SOL Spot ETF (SSK) is set to launch, marking a significant milestone as the first ETF in the U.S. to offer staking. The ETF will allocate 40% of its assets in a 'security' form through other Sol-related ETPs to comply with the 1940 Act. The management fee for the ETF is 0.75%, but due to the use of a C-corp structure, the total expense ratio, including tax expenses, is projected to reach 1.28%.

While the launch of this new product is notable, it is important to approach it with a rational and managed expectation. After three months of trading, the asset size of SOLZ (Solana Futures ETF) is only $22 million, which is underperforming, especially considering SOL's 15% increase. Investors typically prefer 100% spot products under the 1933 Securities Act, but these products currently do not have a clear launch date. Unlike Bitcoin Spot ETFs, Solana-related ETFs have not seen a 'fee war' and have not attracted participation from large companies.

According to the analyst's forecast, the total fee may reach 1.28%, which is a significant consideration for investors. The underperformance of SOLZ and the lack of a clear launch date for 100% spot products under the 1933 Securities Act suggest that the market heat for Solana-related ETFs may fall short of expectations. Additionally, the absence of a 'fee war' and the lack of participation from large companies indicate that the competitive landscape for Solana-related ETFs is different from that of Bitcoin Spot ETFs.