USDSolana ETFs Break Records as Bitwise, Grayscale, and Canary Defy SEC Slowdown During U.S. Government Shutdown
Altcoin Funds Led by Solana Log $65M in Day-One Trading Volume
TL;DR
- Bitwise’s new Solana ETF (BSOL) saw $69.5 million in inflows and $57.9 million in trading volume on debut, leading 2025’s ETF launches.
- Grayscale converted its Solana Trust into a staking-enabled ETF (GSOL), launching on NYSE Arca amid SEC limitations during the government shutdown.
- Canary Capital’s Litecoin and Hedera ETFs joined the wave with $65 million combined day-one trading volume across all three new altcoin funds.
Bitwise Asset Management, Grayscale Investments, and Canary Capital ignited a new phase of altcoin adoption this week, launching Solana, Litecoin, and Hedera exchange-traded funds in the United States even as the Securities and Exchange Commission remained hamstrung by a government shutdown. These ETFs debuted during the second month of federal gridlock, with the SEC operating under a skeleton crew, forcing issuers to rely on an emergency workaround that allowed filings without a delaying amendment. The rule enabled ETFs to automatically become effective after 20 days—sidestepping the agency’s usual review process and accelerating crypto-related product listings that might otherwise have been stuck in bureaucratic limbo.
Bitwise’s spot Solana ETF, trading under the ticker BSOL on the New York Stock Exchange, became an instant market leader. The fund recorded $69.5 million in first-day inflows and $57.9 million in trading volume, hitting $10 million in its first hour. Including $222.9 million in seed capital, BSOL’s total net assets stood at $292.4 million by market close—making it the most successful ETF launch of 2025 so far. Bloomberg senior ETF analyst Eric Balchunas described the start as “strong either way,” noting that if the full $220 million seed had been deployed immediately, BSOL’s total could have surpassed $280 million, eclipsing even BlackRock’s ETHA debut earlier this year.
Comparisons across the ETF landscape show how rapidly Solana has climbed into the institutional spotlight. Bitwise’s Bitcoin ETF, BITB, had previously led with $237.9 million in day-one inflows in January 2024, while BlackRock’s spot Ethereum ETF, ETHA, attracted $266.5 million at launch in July. With BSOL’s debut now exceeding those benchmarks, Solana’s emergence as a dominant force in the coin market cap rankings underscores its expanding role in multi-asset portfolios that track the broader crypto price index. Bitwise’s statement reinforced this shift, saying, “Solana is headed into the mainstream — and we think it’s just getting started.”
Grayscale followed quickly with the launch of its Solana Trust ETF, GSOL, on NYSE Arca. Originally introduced in 2021 as a closed-end product, the fund was converted into an ETF and integrated staking earlier in October 2025. The company positioned itself as one of the largest Solana exchange-traded product managers in the U.S. “Today’s GSOL launch underscores our conviction that the modern portfolio includes digital asset exposure for growth and diversification alongside equities, bonds, and alternatives,” said Inkoo Kang, Grayscale’s senior vice president of ETFs. Kristin Smith, president of the Solana Policy Institute, emphasized that staking in these products lets investors not only gain exposure to SOL’s crypto price but also participate in securing the network and supporting developer innovation.
Canary Capital joined the movement with the first U.S. spot Litecoin and Hedera ETFs—trading under LTCC and HBR, respectively—listed on Nasdaq. Both funds followed the same procedural path as Bitwise’s BSOL, though their early numbers reflected subdued investor enthusiasm. Hedera’s ETF recorded $8.6 million in trading volume and Litecoin’s $1.4 million, with both reporting zero net inflows on debut. Bloomberg analyst James Seyffart clarified that ETF shares are typically created or redeemed only in large institutional blocks, making zero-flow days common when supply and demand remain balanced. Still, the combined debut trading volume across Solana, Litecoin, and Hedera ETFs reached approximately $65 million, according to aggregated data from multiple market trackers.
The timing of these ETF launches added another layer to the crypto price index landscape, as broader institutional flows continued to concentrate around Bitcoin and Ethereum. On the same day, U.S. spot Bitcoin ETFs drew $202.4 million in inflows, while Ethereum ETFs added $246 million. K33 Research reported that Bitcoin ETFs have absorbed $26.9 billion in net inflows so far in 2025, though excluding BlackRock’s IBIT, the rest of the market collectively posted $1.3 billion in outflows. “Parts of IBIT’s dominance stem from its now dominant liquidity and scale, but BlackRock’s reputation is likely an additional factor attracting capital,” said K33’s head of research Vetle Lunde. He also noted that the absence of BlackRock in altcoin ETFs “may limit overall flows while opening competition for other issuers to secure Solana ETF dominance.”
Despite the bureaucratic paralysis in Washington, the successful rollout of these ETFs demonstrated that the digital asset market can evolve independently of traditional regulatory timelines. Grayscale and Bitwise proved that investor demand for diversified exposure extends far beyond Bitcoin and Ethereum, particularly as Solana solidifies its standing in the coin market cap rankings. The coordinated debut of these funds, underpinned by $65 million in collective day-one volume, signals the start of a new era in U.S. crypto ETFs—where alternative networks are finally breaking into mainstream portfolios and expanding the institutional definition of what belongs in a modern digital asset index.
This article has been refined and enhanced by ChatGPT.
