Bitwise Europe Launches Solana Staking ETP ($BSOL) in Partnership with Marinade

How does Bitwise Europe’s new Solana staking ETP pave the way for U.S. approvals?

Published: Dec 18, 2024 at 16:37

Bitwise Europe has launched its Solana staking ETP ($BSOL) in partnership with Marinade Finance, Solana’s oldest staking provider. Bitwise joins fellow TradFi giants VanEck and 21Shares as one of the few asset managers to offer this service in Europe.

Trading under the $BSOL ticker, Bitwise Europe’s Solana staking ETP could help lay the necessary groundwork and infrastructure to support TradFi adoption of Solana in the U.S.

Bitwise’s European listing comes after the firm indicated its intent to list a Solana ETF in the United States, following its registration of a regulatory trust in Delaware.

What could Bitwise Europe’s $BSOL listing mean for future Solana ETF approvals in the U.S.?

BitWise Europe Lists $BSOL

On December 17, Bitwise Europe announced the listing of $BSOL, a Solana ETP that offers staking rewards, on Xetra, a trading venue operated by the Frankfurt Stock Exchange. According to BitWise, $BSOL is a fully-backed ETP that aims to deliver investors the “highest staking returns” at the “lowest total cost of ownership”.

Eager to continue growing the firm’s expansive product suite, Bitwise CEO and co-founder Hunter Horsley championed Solana as one of the most promising assets in the industry,

“At Bitwise, we continue expanding our product suite to provide investors with access to the opportunities in crypto through high quality vehicles they can trust. Solana is one of the rising star assets in the space, and we're thrilled to be launching BSOL, the third staking ETP we are launching this year, after the Ethereum and Aptos staking ETPs in February and November respectively,” - Hunter Horsley, Bitwise CEO and Co-Founder.

Seeking to offer investors the best possible rewards, Bitwise named Marinade Finance as its chosen staking provider.

marinade staking rewards

One of Solana’s oldest protocols, Marinade Finance currently offers the highest native staking rates in the ecosystem, with stakers earning over 9.85% APY in staking rewards.

How Does BitWise Compare to Rival Solana ETPs?

Bitwise EU’s Solana Staking ETP is slated to offer a highly competitive management fee, while also providing higher staking returns than rivals like 21Shares EU.

While 21Shares proposes a 2.5% management fee and 5.49% staking rewards, Bitwise is promising investors a far more generous 6.48% staking rewards with a competitive 0.85% fee. Meanwhile, VanEck is playing it safe, assuring investors that staking rewards are not guaranteed.

Laying the Groundwork for U.S. Approvals

With Solana staking ETPs enjoying growing adoption in Europe, pressure is mounting on U.S. regulators to green-light these services in the United States.

Spot Solana ETF filings do not include staking rewards due to current restrictions surrounding securities laws. However, investors are optimistic that incoming SEC Chair Paul Atkins will introduce more progressive crypto regulation.

Bitwise has made its intentions to file a spot Solana ETF clear. In November, the asset manager registered a statutory trust in Delaware, implying an official filing may be on the horizon.

With Solana staking ETPs already in operation in the U.S., firms like Bitwise, 21Shares, and VanEck have a headstart on competitors. Through partnerships with staking providers like Marinade, Bitwise already has the necessary infrastructure in place to offer the best-in-class staking rewards to investors.

This collaboration could set a precedent for other asset managers, potentially positioning Marinade Finance as the first port of call for institutional investors looking to offer Solana staking ETFs.