First US Solana Staking ETF to Debut July 2 Under Ticker 'SSK'

The United States is to get its very first Solana staking ETF this week. The REX-Osprey Solana Staking ETF, set to debut on July 2 under the ticker symbol SSK, will enable investors to earn staking rewards by indirectly backing Solana (SOL) blockchain validation.

In line with Bloomberg, the crypto ETF with the yields has overcome all regulatory hurdles, preparing it to go live in U.S. markets. It becomes the first ETF product in the country that bundles public market exposure with crypto staking yields.

Solana Staking Exposure by Proxy

The fund, which is being launched by REX Shares and Osprey Funds, was initially resisted by the U.S. Securities and Exchange Commission (SEC), particularly with regards to its categorization under federal investment legislation.

The ETF's solution was to invest not less than 40% of its assets in Solana-linked exchange-traded products (ETPs)—the majority of which are registered outside the U.S. These ETPs cover products tracking Solana and even staked Solana, essentially providing indirect exposure to staking rewards.

"These are a step further in the union between public markets and the crypto economy," commented Strahinja Savic, FRNT Financial Head of Data and Analytics.

It further adds, he said, to the current administration's openness to bringing crypto into mainstream finance rather than keeping it separate as a "pariah asset class."

Trend on the Rise in Solana-Based ETFs

The introduction of SSK follows other Solana-targeted ETFs, such as:

Volatility Shares Solana ETF (SOLZ)

Leveraged Solana ETF (SOLT)

These previous products follow Solana futures and provide leveraged exposure to the asset. SSK, though, represents a major development by adding staking yield to ETF structure.

"Crypto ETF summer kicks off," tweeted Nate Geraci, President of The ETF Store.

SOL Price Reaction to ETF Launch News

After the announcement, Solana (SOL) experienced a 5.3% rally, rising from an intraday low of $150 to a high of $158. However, the rally was short-lived, as prices returned to $153 later in the session.

In spite of this retracement, SOL has risen 7% for the week, mirroring wider strength in altcoins as the crypto market extends its recovery.

All that being said, SOL is still down almost 50% from its January 2024 all-time high, which was heavily driven by a memecoin trading boom, the blockchain's then-most dominant use case.

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