Canada is preparing to launch its first spot Solana ETF with staking provisions, set to debut on April 16th. Bloomberg’s senior ETF analyst, Eric Balchunas, revealed this development in a recent Twitter post, citing an investor’s note. The ETFs will be offered by multiple issuers, including Purpose, Evolve, CI, and 3iQ, and will feature staking capabilities through TD.
Despite the excitement surrounding the spot SOL ETF, Balchunas believes that XRP ETFs could potentially overshadow it. He noted that at present, Solana staking offers an 8% annualized yield, which is nearly triple the rewards for ETH staking. It will be interesting to see how the inclusion of staking rewards will impact the demand for these products.
In comparing SOL and XRP ETFs, Balchunas emphasized the strong interest in the U.S.-based Tecrium XRP ETF. He pointed out that the two Solana ETFs in the U.S., which track futures, have not gained much traction in terms of assets under management (AUM). On the other hand, the 2x XRP ETF has already surpassed both Solana ETFs in terms of AUM, despite being launched later.
While the performance of the spot SOL ETF remains to be seen, several issuers, including Grayscale, have applied for U.S. spot SOL ETFs. The SEC is expected to make a decision on these products between May and October 2025. Despite the lukewarm demand for the ETFs, the spot market for SOL has seen a slight increase in demand, as indicated by the rise in Cumulative Volume Delta and Open Interest rates.
With SOL’s price surpassing its 2024 yearly support of $120, there is potential for further growth towards $140 or $160 levels. However, investors should remain cautious as Bitcoin’s price hovers around $86K, potentially facing a bull trap. It is important to watch for any potential sweeps in the market that could impact the overall sentiment and price movements of cryptocurrencies.
