The fund’s assets under management (AUM) have already exceeded $220 million. According to the company’s press release, Bitwise plans to allocate 100% of the fund’s assets to staking via the Helios protocol, with an average annual yield of 7%.
The company also announced a zero management fee for the first three months of trading, after which the fee will rise to 0.2%.
“Solana is one of the most exciting investment opportunities in crypto today. Its ability to process massive transaction volumes with high efficiency and low costs makes it a serious competitor in the stablecoin and tokenization markets,” said Matt Hougan, Chief Investment Officer at Bitwise.
The price of SOL showed little reaction to the news and was trading slightly below $200 at the time of writing, down 1.2% over the past 24 hours.
SOL/USDT hourly chart on Binance. Source: TradingViewOther Launches
Alongside Bitwise’s Solana ETF, Canary Capital introduced two new crypto-based ETFs. The first, based on Litecoin (LTC) and listed under the ticker LTCC, is now available to retail investors through brokerage accounts.
The second product is the Hedera (HBAR) fund, trading under the ticker HBR.
“Hedera stands out for its high throughput, low fees, corporate governance, real-world utility, and energy efficiency,” Canary Capital said in its statement.
The LTC price remained largely unchanged, while HBAR surged by 11% in 24 hours following the announcement.
HBAR/USDT hourly chart on Binance. Source: TradingViewAdditionally, on October 29, Grayscale plans to convert its existing Solana Trust (GSOL) into a spot exchange-traded fund, further expanding institutional exposure to Solana.
The bank’s forecast was based on comparable adoption rates of Bitcoin and Ether funds, estimating $3 billion to $6 billion in inflows for SOL funds and $4 billion to $8 billion for XRP products.