CMC News

CoinShares Drops SEC Application for Staked Solana ETF

#CoinShares pulled its Securities and Exchange Commission application for a staked $SOL exchange-traded fund on Friday after the underlying transaction failed to materialize. The asset manager disclosed that the structuring deal and asset purchase supporting the proposed fund were never completed.

"The Registration Statement sought to register shares to be issued in connection with a transaction that was ultimately not effectuated. No shares were sold, or will be sold, pursuant to the above-mentioned Registration Statement," the #SEC filing stated.

The withdrawal comes despite strong investor demand for staked $SOL products that offer yield through network validation. REX-Osprey launched the first staked $SOL ETF in the U.S. in June, followed by Bitwise's offering in October.

#Bitwise's staked $SOL ETF debuted with nearly $223 million in assets on its first trading day. The launch attracted roughly half the value held in the REX-Osprey ETF, which had been trading for months, according to ETF analyst Eric Balchunas.

$SOL ETFs collectively attracted over $369 million in capital flows during November as investors pursued yield-bearing opportunities. The products advertise staking rewards ranging from 5% to 7%, appealing to income-focused crypto allocators.

These inflows bucked broader trends in crypto ETF markets. $BTC and $ETH ETFs experienced record outflows during October and November, while SOL products maintained multiday inflow streaks even as crypto prices declined.

Despite robust ETF demand, #Solana price performance has remained weak. The token hit a five-month low near $120 in November, representing a 60% decline from its roughly $295 all-time high reached in January 2025.

Analysts previously forecasted SOL reaching $400 based on anticipated #ETF capital inflows.