Bitwise CIO Highlights the Significance of Solana Staking ETFs

Bitwise CIO Discusses the Impact of Solana Staking ETFs

Solana staking exchange-traded funds (ETFs) show great potential for the traditional stock market, especially after the Bitwise fund launched on the New York Stock Exchange (NYSE), where it achieved over $56 million in trading volume on its first day.

Matt Hougan, the Chief Investment Officer of Bitwise, described the Bitwise Solana Staking ETF (BSOL) as “the missing part of the puzzle” in his discussion on Cointelegraph’s Chain Reaction daily show. This funding attracted significant investment on the NYSE.

So, @BitwiseInvest Solana Staking ETF totalled $56M in trading volume after its debut on @NYSE 💰

As @EricBalchunas reported, it's the biggest ETF debut in 2026. @Matt_Hougan termed $BSOL as "the missing part of the puzzle".

Here’s why @solana staking ETFs are set to attract more interest... pic.twitter.com/syFGy6Dwm9 — Gareth Jenkinson (@gazza_jenks)

Hougan pointed out that prior to this, investors preferred holding Solana directly to stake it for yield, rather than investing in an ETF that didn’t support staking. He explained, “When you put it into an ETF, you enjoy all the benefits of an ETF: very low costs, institutional custody, and the ability to purchase it through your brokerage account. It’s incredibly simple, and you benefit from delegated staking.”

The Need for Custody and Staking Yield

Hougan elaborated on how staking ETFs differ from traditional crypto ETFs for Bitcoin and Ethereum, which mainly offer investors exposure to the underlying assets. Staking ETFs provide a dual advantage, he noted.

Additionally, he stated that such products contribute to the decentralization and security of the Solana network. The $BSOL ETF was launched with an impressive $222 million in assets, representing over 1.1 million SOL tokens.

Solana Staking ETF Launch
Source: Eric Balchunas

Bloomberg’s senior ETF analyst Eric Balchunas also indicated that Bitwise’s Solana staking ETF posted the highest trading volume for an ETF on its debut in 2025.

Regulatory Changes Paving the Way for Solana Staking ETFs

Hougan attributed the recent shifting regulatory landscape in the US as a key factor enabling the approval of Solana staking ETFs. Under Gary Gensler's leadership at the SEC, it took considerable time for Bitcoin and Ethereum ETFs to receive regulatory approval.

He remarked that without this significant change in US regulators' approach to the cryptocurrency sector, the launch of Solana staking ETFs would not have been “even remotely possible.”

“Just look at how difficult it was to get Solana unstaked approved; Ethereum barely managed it through Gensler's tight scrutiny. There was no chance of getting anything else approved, especially with the added layers of complexity like staking,” Hougan stated.

Related: Bitwise SOL Staking ETF Debuts with $223M in Assets, Indicating Strong Institutional Demand

He acknowledged that regulatory complexities such as liquidity concerns and tax implications had caused hurdles. However, the launch of BSOL and Grayscale’s Solana Trust ETF (GSOL) could likely usher in a wave of traditional finance investment solutions associated with proof-of-stake protocols.

“Now that we’ve achieved this, it also paves the way for various other exchange-traded products that incorporate staking. This marks a significant proof-of-concept moment in the development of crypto exchange-traded products in the US.”

Key Takeaways

The Bitwise Solana Staking ETF (BSOL) launched with over $56 million in trading volume on its first day.
Matt Hougan describes BSOL as “the missing part of the puzzle” for crypto ETFs.
Staking ETFs provide unique benefits of low costs and institutional custody while enabling staking yields.
A regulatory shift in the US has made the approval of Solana staking ETFs possible, paving the way for future products linked to proof-of-stake protocols.