Solana ETFs attracted $369 million in November, lifting total inflows to nearly $500 million since launch and placing these products at the center of the conversation around yield-generating crypto assets. Investors are clearly redirecting capital toward instruments that produce income rather than relying solely on price appreciation, a trend underscored by more than $1 billion in outflows from Bitcoin and Ethereum ETFs during the same period.
Solana ETFs gain traction as investors chase network-driven yield
Their main appeal lies in staking. By delegating SOL to secure the network, these ETFs generate rewards estimated between 5% and 7% annually, turning Solana into one of the few large-cap crypto assets offering native yield at scale. This has reinforced the preference for “productive assets” in a market seeking stability amid broader volatility.
Legal design also shapes demand. VanEck’s proposed vehicle uses a grantor trust structure, simplifying federal tax treatment for certain institutional buyers. Meanwhile, leading issuers —Grayscale, Fidelity, and VanEck— continue advancing filings, with the latter submitting a Form 8-A that signals operational readiness.
Regulation remains the pivotal variable. The SEC is still reviewing applications for Solana and other crypto ETFs, though recent removals of delay notices for Solana and XRP suggest a shift in posture. Even so, some deadlines were extended, including Franklin Templeton’s proposals pushed to October and November 2025.
ETFs offer a regulated, accessible route into the Solana ecosystem, avoiding private keys, custody risks, and on-chain complexities. The trade-off is that staking yields are partially offset by management fees, whereas direct ownership retains full control but requires technical infrastructure many institutions prefer to avoid.
The sustained inflow momentum —with AUM projections between $3 billion and $6 billion upon approval— signals a broader rotation toward crypto assets that combine utility, yield, and liquidity. The next major milestone remains the SEC’s decisions in fall 2025, which will determine whether Solana’s position in institutional portfolios becomes permanent.
