- Canada will launch the world’s first spot Solana ETFs with staking on Wednesday, outpacing the U.S. in crypto ETF innovation.
- Approved by the OSC, these ETFs aim to offer higher yields through staking rewards and direct SOL holdings.
Canada is once again leading the global charge in crypto innovation. This Wednesday, the country will debut the world’s first spot Solana (SOL) exchange-traded funds (ETFs) with staking capabilities—an unprecedented move that could reshape investor access to altcoins.
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The launch was confirmed by Bloomberg ETF analyst Eric Balchunas, who cited a circular from Toronto-Dominion Bank. According to the memo, the Ontario Securities Commission (OSC) has greenlit four asset managers—Purpose, Evolve, CI, and 3iQ—to list the groundbreaking ETFs on Canadian exchanges.
These ETFs will directly hold physical Solana and include built-in staking to generate additional yield for investors. “The new Solana ETFs will engage in staking activities to earn rewards, which may provide higher yields than Ether staking and reduce overall ETF holding costs,” the circular reads.
The move positions Canada far ahead of the U.S., where the Securities and Exchange Commission (SEC) has only recently warmed to the idea of spot crypto ETFs. While the U.S. finally approved spot Bitcoin ETFs in January 2024, staking-enabled ETFs remain off the table—at least for now. On Monday, the SEC delayed its decision on whether Grayscale’s spot Ethereum ETF can incorporate staking, extending its review until June 1.
Despite attempts by major U.S. players like WisdomTree, Bitwise, and Franklin Templeton to push for altcoin-based ETFs, none have received regulatory approval. Balchunas noted that existing U.S.-listed Solana futures ETFs hold minimal assets, suggesting American investors have yet to fully embrace altcoin ETFs—especially without staking incentives.
Globally, interest in compliant digital asset exposure is booming. Hong Kong and Australia have also moved forward with regulated crypto ETFs. But Canada, which pioneered the first spot Bitcoin ETF back in 2021, continues to lead in innovation.
With Solana currently trading at $129.97, the new ETFs arrive at a time when altcoins like SOL, XRP, and Dogecoin are rebounding amid political and regulatory shifts.
If successful, Canada’s staking-enabled Solana ETFs could set a powerful precedent for what’s possible in digital asset investing—and potentially nudge U.S. regulators to catch up.