Key Insights:
- REX Shares will launch the first SOL ETF with staking support.
- Solana surges as ETF news boosts investor demand and excitement.
- Staking-enabled ETFs may reshape traditional crypto investment opportunities.
Market specialist James Seyffart from Bloomberg pointed out that the first Solana spot ETF could come this week. The ETF is set to provide staking within the next few days.
Seyffart recently tweeted that the product launch is imminent. This aligns with earlier confirmation from Rex Shares, the company behind the product.
Despite receiving hundreds of daily applications, this ETF is the first in the U.S. market. It uniquely combines exposure to the spot price of crypto assets.
Additionally, it offers returns from staking earnings, blending two key investment strategies. It is currently officially known as the REX-Osprey SOL + Staking ETF.
REX Shares Sets July 2 Launch Date for the Spot ETF
REX Shares, together with Osprey, announced the product. In a confirmation by Gregory King, the CEO of REX Shares, the spot ETF will start trading on Wednesday, July 2.
Such a launch will be a major milestone in the US’s history of crypto-linked investment products. This is because it includes staking functionality. It is currently absent from any presently available crypto exchange-traded funds.
The fund is unique compared to the current ETFs as it combines asset exposure and stakeholder yield. This is even though the majority of crypto ETFs track price developments only. This implies that investors will be in a position to get passive returns, as in the case of traditional markets.
REX Shares is developing its ETF under the 1940 Investment Company Act framework. This sets it apart from the more commonly used 1933 Act structure. Such an architecture could have helped accelerate the movement of the regulatory process.
Strong Market Reaction from Solana
The reaction to the announcement of the spot ETF in the Solana market is remarkable. As of June 30, SOL is being sold for 156.85, an improvement of 3.84 percent in 24 hours.
In the evening, the price suddenly increased by a significant margin to slightly below $160 according to CoinMarketCap numbers. This wave was in conjunction with the increased anticipation of the ETF.
The trading volume also went through a tremendous spike. It hit 4.94 billion dollars with a growth rate of 151.97% over the same 24-hour period. The release of the ETF may alter the attitude of traditional investors concerning digital assets.
The REX-Osprey SOL + Staking ETF’s performance may create a path for the crypto ETF to follow. Ethereum, Avalanche, and Cardano are examples of the assets used in this field, where proof-of-stake-based mechanisms are already applied.
Good results of this fund likely mean that it will launch staking-based investment products of a similar sort in the future.
Boost for Solana and Staking Ecosystem
Solana supports high-throughput and low-cost transactions efficiently. It has gained substantial traction among developers and DeFi users in the community.
The new spot ETF may strengthen campaign interest in SOL, as seen with Bitcoin and Ethereum severally. This can boost its usage and raise the quantity of stacked tokens.
Delegating more tokens to the ETF would also decrease the circulating supply. It could also enhance the security model by increasing the incentives in the staking process.
This means that staking can be used not only as a source of income but also as a central component to network integrity. This spot ETF may facilitate the connection between retail and institutional capital and the main infrastructure provided by Solana.
SEC-compliant ETF including the staking enhances the increasing maturity of the crypto investment space. This fund could be a breakthrough for investors seeking regulated crypto investment options. It goes beyond mere price speculation by offering returns from additional sources.
The move also implies that American authorities might become more friendly to more innovative crypto-native systems. This is as long as they are packaged as something familiar and conceivable.
Disclaimer
This article is for informational purposes only and provides no financial, investment, or other advice. The author or any people mentioned in this article are not responsible for any financial loss that may occur from investing in or trading. Please do your research before making any financial decisions.
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