Volatility Shares Launches First US Solana ETFs on March 20, 2025
2min read Volatility Shares, a Florida-based ETF firm, is set to launch two Solana futures exchange-traded funds (ETFs) on March 20, 2025. The funds, named the Volatility Shares Solana ETF (SOLZ) and the Volatility Shares 2X Solana ETF (SOLT), will provide investors with exposure to Solana futures. The SOLZ fund will have a management fee of 0.95% until June 30, 2026, after which it will increase to 1.15%. The SOLT fund, offering twice the leverage, will have a management fee of 1.85%.
This launch marks the first Solana-based ETFs in the US, following the Chicago Mercantile Exchange Group’s debut of SOL futures contracts. The introduction of these ETFs comes at a time when asset managers and ETF firms have submitted numerous ETF applications to the Securities and Exchange Commission for approval, following a leadership change at the SEC and the reelection of Donald Trump as president of the United States.
The launch of Solana ETFs is seen as a significant development in the cryptocurrency market, providing investors with new opportunities to gain exposure to Solana through regulated financial instruments. Justin Young, the CEO of Volatility Shares, has expressed confidence in the strategic importance of maintaining American leadership in financial technology. This optimism is bolstered by the recent success of Bitcoin and Ether products, which have paved the way for other cryptocurrencies to enter the market.
Solana first gained widespread attention when it was championed by Sam Bankman-Fried. After his crypto exchange FTX and affiliated Alameda Research fund imploded in 2022, Solana’s survival was in question. However, it has since staged a comeback, thanks to the lower fees it charges in contrast to its rivals. The new funds also demonstrate how ETF firms are still pitching offerings to speculative investors who continue to have an appetite for risk despite the recent market meltdown. Issuers are also defying naysayers who argue the ETF market is already saturated. This year has seen more filings for new ETFs that track everything from altcoin Avalanche, to the SUI token that has a market value, to spot Bitcoin and carbon credit futures.
The launch of Solana ETFs comes as the Trump administration embraces digital assets, spurring a slew of new market initiatives including fresh funds and so-called staking. Among the asset managers that have filed for spot Solana ETFs are Franklin Templeton, Grayscale and VanEck. This move by Volatility Shares is expected to attract a broader range of investors to the Solana ecosystem, providing them with a regulated and accessible way to participate in the cryptocurrency market. The introduction of these ETFs is a testament to the growing acceptance and integration of digital assets into traditional financial markets, offering investors new avenues for diversification and potential growth.
Ask Aime: What's the Solana ETFs' impact on the crypto market?
