Solana ETFs Shatter Records as Bitwise Leads $339M Launch Surge Amid SEC Gridlock

Altcoin ETFs Redefine Institutional Access as Staking Rewards, Record Volumes, and New Entrants Shape Solana’s Ascent

TL;DR:

• Bitwise’s Solana ETF (BSOL) hit $292.4M in total assets, recording $69.5M inflows and $57.9M in day-one volume.
• Grayscale launched a staking-enabled Solana ETF, while Fidelity prepared its own staking fund on NYSE Arca.
• Government gridlock and SEC inactivity fast-tracked ETF approvals, marking Solana’s formal entrance to regulated U.S. markets.

Federal paralysis didn’t stop crypto markets from moving forward. As the SEC remained constrained by a government shutdown, major issuers seized the rare window to roll out new digital asset exchange-traded funds. Solana’s debut on U.S. exchanges became the headline story, led by Bitwise Asset Management’s record-setting Solana ETF launch on October 29. 

Trading under the ticker BSOL, the fund logged $69.5 million in first-day inflows and $57.9 million in trading volume, peaking at $10 million in its first hour. Including $222.9 million in seed capital and $46.5 million in second-day inflows, BSOL closed its debut session with $338.9 million in total net assets — the strongest ETF launch of 2025 by a wide margin, according to Bloomberg’s senior ETF analyst Eric Balchunas, who described the start as “strong either way.”

Grayscale followed closely, converting its existing Solana Trust into a staking-enabled ETF under the ticker GSOL. Unlike Bitwise’s straightforward spot structure, Grayscale integrated validator-based staking to distribute on-chain rewards, after deducting fees and commissions, directly back to shareholders. 

The ETF leveraged Coinbase Custody and Figment for operational infrastructure, marking the first time a U.S.-listed Solana product formally combined yield generation with institutional exposure. Trading volume was modest compared to Bitwise’s debut, remaining below $10 million on its first day, as legacy trust holders transitioned to the new format. Grayscale executives framed the shift as a long-term adaptation to investor demand for income-bearing digital assets.

Fidelity Investments joined the race just a day later, filing an amended S-1 to finalize its own Solana ETF launch with staking rewards integrated. The filing outlined that Fidelity Digital Assets would serve as custodian, with delegated staking handled through in-house validators and external partners like Figment. The Fidelity Solana Fund was positioned to track the Solana U.S. Spot Reference Rate, offering institutional clients direct exposure to SOL alongside yield from validator participation. 

Its debut was expected to occur under the same automatic-effect clause used by Bitwise and Grayscale, bypassing the SEC’s typical review cycle. Analysts interpreted the move as Fidelity’s latest step in bridging traditional fund management with blockchain-native revenue streams, reflecting growing investor appetite for diversified crypto exposure within the regulatory perimeter.

Canary Capital contributed to the week’s momentum by launching parallel ETFs for Litecoin and Hedera, collectively generating $65 million in day-one volume across the new altcoin suite. The coordinated timing amplified market liquidity and signaled a broader shift toward multi-chain portfolio offerings. Together, these ETFs amassed over $120 million in combined trading activity on launch day, a striking performance during a week when the SEC’s operational freeze had sidelined most regulatory oversight. Market analysts framed this as a pivotal test of post-Bitcoin ETF investor enthusiasm, with Solana emerging as the preferred chain for institutional expansion beyond Ethereum.

Despite the unprecedented inflows, Solana’s crypto price dipped roughly 6% during the launch period, reflecting short-term profit-taking as traders repositioned following the ETF surge. Analysts dismissed the decline as a temporary adjustment rather than a bearish signal, emphasizing that the capital influx represented structural validation of Solana’s ecosystem strength. 

Across the coin market cap, Solana maintained its position among the top-performing altcoins, with its inclusion in ETF products expected to stabilize volatility and deepen its role within institutional portfolios. The broader crypto price index reacted with minor fluctuations but trended upward by week’s end, supported by renewed liquidity and cross-asset inflows into blockchain ETFs.

The simultaneous emergence of Bitwise, Grayscale, and Fidelity in the Solana ETF space marked a decisive phase in the evolution of regulated crypto exposure. Each firm’s strategy diverged — Bitwise focused on liquidity and scale, Grayscale integrated staking-based yield, and Fidelity emphasized traditional fund transparency — yet all converged on a shared thesis: institutional demand for diversified, yield-generating blockchain assets is no longer theoretical. The cluster of launches effectively introduced the first multi-chain ETF ecosystem under U.S. compliance standards, signaling that the next growth frontier for digital asset markets extends far beyond Bitcoin and Ethereum.

Within just two days, Solana’s entrance into the ETF arena reshaped the landscape of crypto investment vehicles. Record-breaking inflows, staking-enabled structures, and the entrance of legacy fund managers reflected a maturing alignment between decentralized networks and regulated finance. Even amid government paralysis, the crypto price index told a clear story — institutional capital is no longer waiting for regulatory clarity to embrace blockchain assets. Solana’s rapid ascent into ETF status cemented its role as the market’s next benchmark for on-chain performance and institutional legitimacy.

This article has been refined and enhanced by ChatGPT.