XRP News Today: Solana Staking ETF SSK Debuts With $33.6 Million Trading Volume

The U.S. crypto ETF landscape witnessed a historic milestone with the debut of the first-ever Solana Staking ETF, $SSK. On its launch day, $SSK recorded $33 million in trading volume. This surpassed the performance of Solana and XRP futures ETFs. However, it still fell short compared to the volumes seen during the launch of Bitcoin and Ethereum spot ETFs. Within the first 20 minutes alone, $SSK drew in $8 million in trading volume, which is a healthy start, as noted by an analyst.

Besides strong early performance, $SSK stands out by offering investors direct exposure to spot Solana along with staking yields. This makes it the first crypto staking ETF approved in the U.S., a move hailed as a key advancement for digital asset investment. Consequently, Anchorage Digital, acting as the custodian and staking partner, sees this launch as a major step forward. Its co-founder, Nathan McCauley, emphasized such products in unlocking full access to the crypto ecosystem.

Meanwhile, Bitcoin ETFs dominate the market. BlackRock’s iShares Bitcoin Trust (IBIT) has now surpassed its own S&P 500 ETF (IVV) in annual fee revenue. IBIT generated $187.2 million, narrowly beating IVV’s $187.1 million. Since January 2024, IBIT has attracted $52 billion in net inflows. It also commands over 55% of all Bitcoin ETF assets, accounting for 96% of total Bitcoin ETF inflows.

Additionally, spot Bitcoin ETFs collectively saw a net inflow of $408 million on July 2. Fidelity’s FBTC led with $184 million. However, Ethereum ETFs faced headwinds. They recorded a net outflow of $1.82 million, with BlackRock’s ETHA accounting for $46.88 million of that.

The SEC has paused Grayscale’s plan to convert its Digital Large Cap Fund into an ETF. Although the agency’s Division of Trading and Markets had greenlit the proposal, the commission has decided to review the approval. The fund, heavily composed of Bitcoin and Ethereum, also includes Solana, Cardano, and XRP in small percentages.

The REX-Osprey Solana + Staking ETF (SSK) made its debut on July 2 on the Cboe BZX Exchange, marking a significant milestone as the first U.S.-listed crypto staking ETF. The fund launched with $33 million in volume, outperforming recent Solana and XRP offerings. This strong debut indicates a growing interest in staking ETFs, which allow investors to earn rewards by participating in the validation of blockchain transactions.

The SSK launch comes at a time when the crypto ETF market is evolving beyond traditional Bitcoin and Ether products. Issuers are exploring new ways to bring blockchain-based products to investors, and the success of the SSK ETF suggests that there is a demand for diversified crypto investment options. The ETF's strong performance on its first day, with $33.6 million in trading volume, reflects the enthusiasm among investors for Solana and its staking capabilities.

The launch of the SSK ETF also coincides with a surge in Solana's price, which rose past $153 following the ETF's debut. This price increase can be attributed to the heightened interest in Solana's staking mechanism, which allows investors to earn passive income by holding and staking their SOL tokens. The ETF's structure, which allocates 40% of its assets to overseas staking, provides a unique opportunity for investors to gain exposure to Solana's staking rewards while diversifying their portfolio.

The success of the SSK ETF is a testament to the growing acceptance of crypto ETFs in the mainstream investment community. As more investors seek to diversify their portfolios and gain exposure to the crypto market, staking ETFs like SSK offer a convenient and accessible way to participate in the validation of blockchain transactions and earn rewards. The strong debut of the SSK ETF is likely to encourage other issuers to explore similar products, further expanding the range of crypto investment options available to investors.