Two spot Solana exchange-traded products debuted this week in the United States, and analysts at Grayscale believe they could quickly grow into major accumulation vehicles for SOL.
According to Zak Pandl, Grayscale’s Head of Research, the new products could collectively hold more than 5% of Solana’s circulating supply within the next one to two years.
“It makes sense to benchmark Solana to other spot crypto ETFs. Over time, at least 5% of the supply could end up in these structures,” Pandl told DLNews.
Competition is tougher than during the Bitcoin ETF launch
Pandl noted that Solana ETFs are entering the market in a very different environment compared to Bitcoin ETFs in early 2023.
Back then, the market lacked competing spot crypto investment products. Now, however, the landscape includes Bitcoin and Ethereum ETFs, with many additional filings currently awaiting regulatory approval.
Bitwise and Grayscale launch the first Solana spot ETFs
At the end of October, the U.S. market saw the launch of two Solana-based spot ETFs:
- Bitwise BSOL
- Grayscale GSOL
Within just three days, the funds collectively attracted almost $150 million, according to SoSoValue.
One of GSOL’s defining features is built-in staking support. Grayscale will distribute 77% of staking rewards to investors, which Pandl believes could significantly boost demand.
“Staking rewards provide an additional yield opportunity — a way for investors to diversify income inside a crypto portfolio,” he said.
Solana vs. Ethereum: different strengths, different roles
Despite competition from Ethereum products, Pandl argues that Solana ETFs can serve as a complementary component in diversified crypto portfolios. The two networks differ in technical architecture, transaction design and smart-contract execution models, which makes Solana attractive as an alternative high-performance layer-1.
Earlier projections forecast strong inflows
JPMorgan previously estimated that Solana ETFs could attract up to $1.5 billion during their first year on the market — a sign of strong institutional interest surrounding the ecosystem.
