First US Solana Staking ETFs Launch, Expanding Crypto Access

The coordinated launch includes Bitwise’s Solana Staking ETF (BSOL) beginning trading on October 28, with Grayscale’s Solana ETF converting the following day. Simultaneously, Canary Capital’s spot HBAR and LTC ETFs became effective and commenced trading on Nasdaq. Bloomberg senior ETF analyst Eric Balchunas confirmed the developments, stating: “Assuming there’s not some last-minute SEC intervention, looks like this is happening.” Canary Capital CEO Steven McClurg told journalist Eleanor Terrett: “Litecoin and Hedera are the next two token ETFs to go effective after Ethereum. We look forward to launching tomorrow.”

This expansion beyond Bitcoin and Ethereum spot ETFs tests whether institutional demand extends beyond the two largest cryptocurrencies and whether regulated products can absorb supply without triggering the volatility that characterized previous altcoin rallies. The approval follows months of issuer applications and SEC review, with Multicoin Capital partner Kyle Samani first disclosing the launch date in an October 27 post, after which NYSE confirmed the Bitwise Solana Staking ETF had received trading clearance.

A key differentiator for the Solana ETFs is their staking component, which sets them apart from Ethereum spot ETFs that launched in July 2024 without staking features due to regulatory concerns. Thomas Uhm, chief commercial officer at infrastructure provider Jito, emphasized that the approvals validate months of operational groundwork. “We’ve been sitting on the precipice of this moment, and I’m immensely proud we’re finally here,” Uhm stated. “The approval of staked Solana ETFs is a significant step for institutional access to crypto.”

Jito’s preparation involved extensive infrastructure development, including integration with qualified custodians, building liquidity across exchanges and OTC markets, and addressing regulatory, tax, and accounting issues institutions face. The company’s JitoSOL liquid staking token operates inside REX’s SSK product and is the only Solana LST with a full LST ETF application from VanEck. Uhm highlighted the critical importance of relationship-building: “We’ve built relationships with the largest authorized participants, liquidity providers, and market makers in the world. Business is about relationships, and we’ve been in the rooms that matter for ETF issuers and users to help them understand what liquid staking can do within these structures.”

The launch represents more than just new investment products—it signals a maturation of the cryptocurrency market infrastructure and regulatory acceptance. Uhm positioned the approval as a starting point rather than a conclusion, mentioning ongoing work with “tier 1” investment banks on products related to these ETFs and relationships with major hedge funds. This institutional groundwork suggests broader acceptance and integration of cryptocurrency products within traditional financial systems.

The successful launch of these altcoin ETFs could pave the way for further cryptocurrency product approvals, testing whether the US market is ready for diversified crypto exposure beyond the established Bitcoin and Ethereum offerings. The inclusion of staking features in Solana ETFs particularly demonstrates regulatory evolution, as earlier Ethereum ETFs launched without this capability. As institutional infrastructure continues to develop and regulatory clarity improves, the potential for additional cryptocurrency ETFs and related financial products appears increasingly likely, marking a significant step forward in the mainstream financial adoption of digital assets.