Canada is set to launch the world’s first spot Solana (SOL) exchange-traded funds (ETFs) on Wednesday, April 16, 2025. The landmark move, approved by the Ontario Securities Commission (OSC), marks a significant evolution in crypto asset management by offering investors direct, regulated exposure to Solana—an altcoin known for its high-speed blockchain capabilities.
The approval allows four asset managers—Purpose Investments, Evolve ETFs, CI Global Asset Management, and 3iQ—to list and trade Solana ETFs on Canadian exchanges. Unlike futures-based products, these ETFs will hold actual SOL tokens and include staking mechanisms, enabling investors to earn passive yields while maintaining liquidity.
ETFs to Feature Staking Rewards and Spot SOL Holdings
One of the standout features of the upcoming Solana ETFs is the incorporation of staking rewards. By staking SOL held within the fund, issuers aim to generate yield for investors and offset associated management fees. This model not only enhances returns but also introduces a novel way to blend traditional finance structures with on-chain utility.
Staking rewards on Solana typically range from 5% to 7% annually, potentially offering higher yields than other products, including Ethereum-based funds. While financial institutions such as TD Bank are involved in ETF-related information dissemination, they do not directly participate in the staking process. Each ETF will track a unique Solana-related index, offering diverse strategies while maintaining direct token backing.
This innovative approach builds on Canada’s history of pioneering crypto financial products. The country was also the first to approve a spot Bitcoin ETF in 2021, setting a precedent for broader crypto adoption through institutional-grade vehicles.
U.S. Lags as Canada Sets the Pace in Crypto ETFs
While Canada pushes forward, the U.S. Securities and Exchange Commission (SEC) remains hesitant. Despite approving futures-based Solana ETFs, the SEC has yet to greenlight any spot altcoin ETF. Several U.S.-based asset managers, including Grayscale, VanEck, and Franklin Templeton, continue to await decisions on their applications.
Analysts anticipate the launch could spur further institutional interest in Solana, though some caution that demand may initially be tepid. This skepticism is informed by the underwhelming performance of Solana futures ETFs in the U.S., which have accumulated limited assets under management.
Nonetheless, Canada’s approval may serve as a bellwether for other regulators and market participants eyeing exposure beyond Bitcoin and Ethereum. The launch of spot Solana ETFs with built-in staking could signal a new era for altcoin adoption, combining regulatory clarity with native blockchain economics—and positioning Canada once again at the forefront of crypto innovation.