VanEck’s VSOL: The Solana ETF Game-Changer with Built-In Staking Rewards
Wall Street meets Web3 as VanEck drops the first Solana ETF with staking rewards baked in. VSOL isn't just another crypto fund—it's a yield-generating Trojan horse for institutional investors.
The move signals growing confidence in Solana's infrastructure despite last year's network outages. 'This isn't your grandma's Bitcoin ETF,' quipped one trader. 'They're betting the farm on SOL becoming the AWS of blockchain.'
Staking rewards could push VSOL's yield above 5% annually—if Solana's validators stay operational. The fine print warns investors about 'novel risks associated with proof-of-stake protocols.' Translation: your yield might vanish faster than a DeFi hack.
Analysts note the timing coincides with SOL's 300% YTD surge. 'Traditional finance finally understands that crypto natives won't settle for dead money,' said a masked account on X. 'But wait till they discover the 28% staking tax.'
SOL Strategies as staking provider
VSOL will work with SOL Strategies Inc. as the staking provider. Michael Hubbard, Interim CEO of SOL Strategies, said in a statement, that the firm is “excited to work with VanEck, a firm that has consistently championed the Solana ecosystem.” SOL Strategies runs certified validators that are SAFE and secure and currently handle over CAD$610 million in staked assets.
1/ 🚨BIG NEWS: SOL Strategies selected as staking provider for the @vaneck_us Solana ETF!
As demand for institutional-grade, high-performance and compliant Solana staking grows, our ISO 27001 & SOC 2 certified infrastructure is ready to scale with it.
VanEck has consistently… pic.twitter.com/fhRvxXtudR
VanEck has been active in crypto ETFs for years. The firm was first to file for spot SOL and ethereum products and launched a futures-based Bitcoin ETF in 2017. It now offers the VanEck Bitcoin ETF (HODL), the VanEck Ethereum ETF (ETHV), and other ETFs like the VanEck Digital Transformation ETF (DAPP) and the VanEck Onchain Economy ETF (NODE).
At the moment, VanEck manages more than $5.2 billion in digital asset products globally. This includes private funds and 29 crypto exchange-traded products in Europe.
The firm also notified users that investments in VSOL, HODL, and ETHV are risky and may not suit all investors. The values of Solana, Bitcoin, and Ethereum are highly volatile, and investors may lose their principal.
In addition, the trusts are not registered under the Investment Company Act of 1940, so they do not have the same protections as mutual funds or standard ETFs.
Also Read: Strategy Buys $835M in Bitcoin Days After Selling Rumor
