Updated on 30th October, 2025

The spotlight has been on Solana (SOL) as the first US staking-based exchange-traded fund (ETF) was launched. The new fund, BSOL from Bitwise Asset Management, offers direct exposure to Solana plus staking yield.

As a result, analysts are looking into the Solana ETF launch, why the demand was so strong, how Solana’s network fundamentals are aligned, what this means for SOL price in the near term and how it compares to other crypto ETFs.

Solana ETF Breaks Records

Just recently, Bitwise’s Solana Staking ETF (BSOL) started trading in the US. The fund saw $69 million in first-day inflows and $57.9 million in first-day trading volume, reportedly the largest of all the new ETFs launched this year.

Bloomberg ETF analyst Eric Balchunas called it “a strong start” noting that BSOL’s pre-seeded capital of about $220 million helped get its assets under management (AUM) to $289 million on day one.

The Solana ETF launch means institutional interest is big as investors looked beyond pure crypto speculation to blockchain networks with yield, regulated exposure and infrastructure credibility.

According to a release, BSOL has a 0.20% management fee, and for the first 3 months on the first billion in assets, 0% fee, indicating more incentive for early adopters.

In short, the Solana ETF launch was a rare combination of big inflows, meaningful trading, and a product that offered staking rewards and regulated access to a major Layer-1 blockchain.

Why the Solana ETF Launch Resonated with Institutions

The success of the Solana ETF launch can be attributed to several structural advantages. BSOL has staking rewards. 82% of its Solana holdings are already staked via Helius Labs with a goal of 100%. That’s an estimated 7% annual yield, appealing to institutional investors who typically avoid direct node operation risk.

Solana’s network fundamentals are strong; the network has been up 99.9% since 2024, DeFi TVL has tripled this year and transaction volumes are higher than Ethereum’s, according to recent coverage.

High throughput, low fees, and staking income made Solana a “revenue-generating” Layer-1 blockchain, which is what institutional investors are looking for in infrastructure, not token speculation.

Regulatory clarity also helped create the pad for the Solana ETF launch. Following our earlier reports, US regulators had allowed staking-based crypto products to move forward under new guidelines.

Those conditions were the platform for BSOL to launch and get traction. The Solana ETF launch worked because it combined yield, network strength, and institutional-grade access.

How Solana ETF Launch Impacts SOL Price

Analysts expect that this Solana ETF launch will be a catalyst for $SOL’s price through multiple channels. 70% of SOL’s circulating supply is already staked, which reduces available liquidity. With a product like BSOL staking 100% of its holdings, it tightens the effective liquid pool further.

Additionally, historical research shows a strong correlation between ETF inflows and price returns in crypto. K33 Research found an R² of 0.80 between Bitcoin ETF flows and 30-day BTC returns.

Solana’s conditions of high staking, infrastructure strength, and now regulated product access could amplify that effect.

If Solana ETF products attract $5-8 billion of new capital, then 60-120% price appreciation is possible.

Some scenarios even see $SOL reaching $500+ in the next cycle. The Solana ETF launch may be the start of a re-rating phase where institutional adoption, network fundamentals and regulated product access converge.

Conclusion

Beyond product launch dynamics, Solana’s network itself is the foundation of the Solana ETF story. Solana processes transactions in milliseconds (400ms) compared to several seconds or minutes on other chains, according to Bitwise’s documentation.

Low transaction fees, high throughput and robust validator infrastructure makes it competitive for DeFi, tokenization and consumer financial rails.

Solana generated over $2 billion in network revenue last year, more than any other chain, which aligns with Bitwise’s argument:

“Institutional investors love revenue. Solana has the most revenue of any blockchain. Therefore, institutional investors love Solana ETFs.”

Hence; the Solana ETF launch is built on a solid network infrastructure. 

Glossary

Staking rewards – Income earned by locking up tokens in a proof-of-stake network, to help validate transactions.

AUM (Assets Under Management) – Total value of assets in a fund.

Layer-1 blockchain – The base blockchain network (e.g. Solana; Ethereum, Bitcoin); that other apps are built on.

Re-rating – big change in how the market values an asset; often caused by new fundamentals or structure.

ETF (Exchange-Traded Fund) – A tradable investment fund on an exchange; often tracking an index or asset.

Frequently Asked Questions About Solana ETF Launch

What is the BSOL fund?

BSOL is the Bitwise Solana Staking ETF, launched in the US on 28 October 2025, giving you direct exposure to Solana (SOL) and staking rewards.

Why was the Solana ETF launch a big deal?

It had one of the highest first-day inflows and trading volume of any ETF launched in 2025, showing institutional demand is high.

How does staking work in the fund?

The fund will stake 100% of its SOL holdings, giving you an estimated average yield of around 7% per year.

Will the Solana ETF launch increase $SOL’s price?

The constrained supply (due to high staking) and institutional flows through the fund could put upward pressure on price.

Read More: Solana ETF Launch Breaks Records With $69M Inflows: Analysts Eye $500 SOL">Solana ETF Launch Breaks Records With $69M Inflows: Analysts Eye $500 SOL