"The New Rising Star in the Crypto Circle" Solana Futures ETF is Here

The first batch of Solana futures ETFs has been launched, paving the way for potential spot ETFs and marking further acceptance of "non-Bitcoin" crypto assets by mainstream financial markets. According to registration documents, Volatility Shares LLC, based in Florida, USA, launched two exchange-traded funds tracking Solana futures this Thursday. These will be the first such products offering exposure to Solana, which currently has a market capitalization of approximately $67 billion, making it the sixth-largest cryptocurrency in the world. Among them, the Volatility Shares Solana ETF (ticker: SOLZ) will track Solana futures, while the Volatility Shares 2X Solana ETF (ticker: SOLT) will provide double leverage exposure. According to the documents, SOLZ has a management fee of 0.95%, while SOLT has a management fee of 1.85%. On its first trading day, SOLZ fell by 2.35%, and SOLT fell by 3.84%. Justin Young, CEO of Volatility Shares, stated: "The launch of our products comes at a time when optimism about cryptocurrency innovation in the U.S. is reigniting. We believe the Trump administration recognizes the strategic importance of maintaining America's leadership in financial technology." Earlier this month, Trump announced that the U.S. cryptocurrency strategic reserve would be centered around Bitcoin and Ethereum, while also including smaller and riskier tokens such as Solana, XRP linked to Ripple, and Cardano. Solana initially gained widespread attention due to the support of former cryptocurrency billionaire Sam Bankman-Fried. In 2022, after the collapse of his cryptocurrency exchange FTX and the associated Alameda Research fund, Solana's survival was questioned. However, due to its lower fees compared to competitors, Solana has since made a strong comeback. However, year-to-date, Solana is still down about 30%. Several issuers, including Grayscale, Franklin Templeton, and VanEck, have submitted documents to prepare for the launch of a spot Solana ETF, which has yet to be reviewed by the U.S. Securities and Exchange Commission. However, industry observers view Volatility Shares' funds as a signal that a spot fund for Solana is on the horizon. Both Bitcoin and Ethereum followed a similar path: issuers first launched futures products, followed by spot ETFs. Eric Balchunas and James Seyffart from Bloomberg Intelligence estimate that the probability of a Solana spot ETF being approved this year is 75%.