Bitwise Launches Solana Staking ETP in Europe as U.S. Awaits ETF Approval

Crypto index fund manager Bitwise has introduced a Solana staking exchange-traded product (ETP) in Europe under the ticker BSOL.

The move comes as Bitwise continues to await U.S. regulatory approval for its Solana exchange-traded fund (ETF).

Launched on December 17, the new ETP offers investors an annual percentage yield (APY) of 6.48%, surpassing similar offerings from competitors like 21Shares, which provides a 5.49% APY, the firm said in a recent press release.

Bitwise Sets BSOL’s Management Fee at 0.85%

The management fee for BSOL is 0.85%, significantly lower than 21Shares’ 2.5% fee.

The product was developed in partnership with Marinade, a self-custodial automation tool.

The launch of BSOL follows Bitwise’s earlier introduction of ESOL, a Solana-based ETP that debuted in August after the firm’s acquisition of nine European-listed crypto ETPs from the ETC Group.

While ESOL does not support staking rewards, BSOL aims to address this gap by incorporating the staking feature.

“Solana is one of the rising star assets in the space, and we’re thrilled to be launching BSOL, the third staking ETP we are launching this year, after the Ethereum and Aptos staking ETPs in February and November respectively,” said Hunter Horsley, CEO and Co-Founder at Bitwise.

Bitwise’s efforts to expand in Europe come as it continues to pursue regulatory approval for a spot Solana ETF in the United States.

In November, the firm registered a statutory trust in Delaware, a step toward filing with the U.S. Securities and Exchange Commission (SEC).

🚨BREAKING: This morning, the Bitwise Solana Staking ETP (Ticker: BSOL, ISIN: DE000A4A59D2) has officially been listed on Xetra.

BSOL is designed to offer the best possible outcomes for investors looking to access Solana’s total return profile through staking:

➡️Competitive… pic.twitter.com/URcYZ5YaNH

— Bitwise Europe (formerly ETC Group) (@Bitwise_Europe) December 18, 2024

Industry insiders remain optimistic about the potential for a U.S.-approved Solana ETF, with VanEck’s head of digital asset research, Matthew Sigel, predicting high chances of approval by the end of 2025.

The addition of BSOL is part of Bitwise’s broader strategy to expand its crypto ETP offerings, which now account for over $4.5 billion in assets under management.

The ESOL product alone currently holds $24 million in assets.

Bitwise’s chief investment officer, Matt Hougan, and research head, Ryan Rasmussen, have also made bold forecasts, predicting Bitcoin could reach $200,000 by 2025 and eventually surpass gold’s $18 trillion market cap by 2029.

Solana Outpaces Ethereum in Terms of New Developers

Bitwise’s focus on Solana products comes as the ecosystem continues to attract more users and developers.

A recent developer report by Electric Capital revealed that Solana has attracted more new developers than Ethereum for the first year since 2016. This is because, in July, Solana onboarded more developers than Ethereum.

The report found that 7,625 out of 39,148 new developers in 2024 used Solana as their first blockchain. Meanwhile, 6,456 have explored Ethereum this year.

Furthermore, institutional investment in Solana-based blockchain applications rebounded in the third quarter of 2024, with Solana’s decentralized applications (DApps) attracting $173 million across 29 funding rounds.