Crypto asset manager Bitwise introduced a new Solana Staking ETP product in Europe under the ticker BSOL, providing investors with an opportunity to earn a 6.48% annual yield.
Expanding Bitwise's Reach in Europe
The launch of BSOL follows Bitwise's acquisition of the London-based ETC Group, known for its ESOL product managing $24 million in assets. This strategic move allows Bitwise to establish a foothold in the European market eager for crypto-staking opportunities.
Benefits and Partner Selection
Bitwise chose Marinade as its staking provider to ensure a reliable and secure staking experience. Marinade is a recognized player in the Solana ecosystem, focusing on decentralization and efficiency. While typical Solana staking rewards offer an annual yield of approximately 8%, Bitwise opted for a slightly lower rate of 6.48% to maintain operational and security standards.
Bridging Staking and ETFs
The introduction of BSOL closely follows Bitwise's registration of a Solana ETF entity in Delaware, signaling its ambition to expand its offerings. Although current U.S. regulations prevent ETFs from including staking rewards, Bitwise's move to build out its SOL staking infrastructure could pave the way for future innovations. Analysts believe that under a Paul Atkins-led SEC, there is potential for changes to securities laws, allowing ETFs to include staking rewards, and Bitwise would already have the necessary infrastructure in place to capitalize on this shift. They are not alone in targeting Solana ETFs and staking products; VanEck, 21Shares, and Canari Capital are also actively working on similar offerings.
The launch of BSOL demonstrates Bitwise's growing ambition to expand its presence in the European market and bring innovations within the Solana staking space while preparing for potential changes in U.S. ETF regulations.