Bitwise’s Solana Staking ETF (BSOL) has become the first individual Solana ETF to top $1 billion in assets — reaching $1.0175 billion in net assets as of Aug. 26 — marking a major milestone less than 10 months after the fund’s Oct. 28, 2025 NYSE Arca debut. Why it matters - Bloomberg ETF analyst Eric Balchunas flagged the milestone and placed BSOL within a broader U.S. spot Solana category that has attracted roughly $1.7 billion in cumulative flows. He noted the category has seen little in sustained outflows despite a steep SOL sell-off in the first half of 2026. - BSOL’s rapid growth underlines the advantage of being first to market: Bitwise’s fund was the first U.S. exchange-traded product to offer 100% direct exposure to SOL and to incorporate staking rewards into the portfolio. Key fund facts and recent activity - Holdings and pricing (Aug. 26): BSOL held 9.33 million SOL (market value $1.0176 billion), about 0.137 SOL per share. NAV was $14.95 and market price $15.03, a 0.56% premium to NAV; 30-day median bid-ask spread = 0.10%. - Fee structure: 0.20% management fee (waived for the first three months on the first $1 billion of assets). - Early traction: Bitwise pulled in roughly $420 million in the fund’s first trading week, per LSEG data cited by Reuters. - Market share: By mid-May, BSOL held about 81% of tracked Solana ETF assets. Crypto.news earlier reported BSOL at ~$861 million of $1.06 billion in the category (price moves since then changed totals). - Recent inflows & volume: SoSoValue showed $33.5 million in net inflows to U.S. spot Solana ETFs on Aug. 24 — the largest daily intake for the category in 2026. BSOL accounted for ~$25 million of that day and generated about $108 million of the combined $166.8 million trading volume. - Bitwise CEO Hunter Horsley reported ~ $100 million in daily inflows across the firm’s U.S. crypto products around Aug. 27; Solana vehicles were the biggest draw (~$40 million), and BSOL produced >$126 million in trading volume that day (issuer preliminary figures). Staking, performance and fund operations - Staking: BSOL delegates most SOL to validators and reinvests earned staking rewards into the portfolio (rewards are not paid out in cash). As of Aug. 26, 96% of assets were staked (target 100%). Bitwise reported a 90-day average gross staking reward rate of 6.17% and a net rate of 5.80% (data via Helius). The firm warns staking rewards can change and are not guaranteed. - Performance: Despite fresh inflows, the fund’s NAV has been hurt by SOL’s price slump. As of July 30, Bitwise showed a 39.07% year-to-date NAV loss and a 60.15% decline since inception. An Aug. 7 SEC filing showed $267.1 million in net subscriptions in H1 2026, lifting SOL holdings from ~5.15 million at end-2025 to 8.05 million by June 30 — yet falling SOL prices cut net assets from $641.3 million to $592.3 million over that period. NAV per share fell from $16.37 to $10.01 in H1 (a -38.85% return). - Income and losses: The filing recorded $19.2 million in gross staking rewards and about $17.7 million in net investment income after expenses. It also showed $333.8 million in portfolio losses (roughly $262.9M unrealized depreciation and $70.9M realized losses). - Other developments: A major U.S. bank has approved BSOL shares as loan collateral with a maximum loan-to-value ratio of 25%, per Bitwise CEO Horsley (bank not named). Structure, disclosures and investor takeaways - Regulatory form: BSOL is an exchange-traded product whose sole asset is SOL, and it is not registered under the Investment Company Act of 1940. Bitwise’s primary objective is to track the value of SOL after operating costs; earning additional SOL via staking is secondary. - Accessibility: The NYSE Arca listing gives U.S. investors SOL exposure through ordinary brokerage accounts without direct custody or validator management — but investors still face SOL price volatility, management fees, tracking differences and staking-specific operational risks spelled out in Bitwise disclosures. Market context - SOL price action: SOL opened near $96.60 on Aug. 26 and climbed to an intraday high around $110 on Aug. 27. Technical notes cited initial support near $104.41 and potential resistance near $114.88 and $127.83 if momentum continues. Bottom line Bitwise’s BSOL has translated first-mover status and staking features into dominant market share and rapid inflows, crossing $1 billion in AUM even as SOL’s price volatility weighed on NAV. The milestone underscores investor demand for simplified, staking-enabled exposure to Solana through regulated exchange-traded products — while also highlighting the customary crypto caveats: price risk, operational and staking uncertainties, and differences between asset levels and cumulative inflows. Sources: Bitwise fund data and SEC filing, Bloomberg (Eric Balchunas), SoSoValue, LSEG/Reuters, Bitwise CEO disclosures. Read more AI-generated news on: undefined/news