Bitwise's Solana ETF with staking has accrued $500M AUM in just 18 days of trading

Bitwise announced its Solana staking ETF broke above $500M in assets under management. SOL-based ETF saw active inflows in the first two weeks since its launch. 

The BSOL ETF by Bitwise now carries over $500M in assets under management, in just 18 days of trading. 

BSOL uses the Helius Labs validator for staking, currently offering 6.47% annualized yield. Bitwise also emerged as the ETF with the most active buying. BSOL will retain zero fees for the first three months of trading, or the first $1B in assets under management, whichever comes first. 

Additionally, Bitwise received permission to trade an ETF based on a basket of 10 crypto coins and tokens.   

Bitwise was among the most active ETFs in the past week, as most newly launched funds accumulated SOL. 

Due to incomplete reporting, all Solana ETFs have been shown to hold around $444M in SOL, accumulated in less than three weeks. Solana-based ETF had a record initial streak with no selling, unlike the BTC ETF, which had outflows in its first week of trading. 

SOL still sees selling pressure

Even at the current levels of buying, SOL still sees selling pressure. The asset sank to a low of $125 before recovering to $130. 

SOL also suffers from worsened sentiment, with both retail and smart money turning bearish. On Hyperliquid, nearly 40% of whales are going short on SOL. 

The asset has seen diminished open interest at around $2.83B, with more subdued trading. SOL now trades in a range between $120 and $140, based on open long and short positions and the chance for liquidations. 

SOL also showed its ability for rapid recovery, causing around $1.8M in short liquidations in one hour. The asset is at a crossroads, with traders still expecting a recovery to a higher range, based on economic activity. 

The Solana network still carries 2.3M daily active users, and is the venue for the biggest fee-producing apps. The chain carries robust on-chain trading on its top DEX, and still draws in additional fees for priority transactions. This allows validators to offer relatively higher yields for staking, making Solana more attractive to ETFs. 

ETF are yet to catch up with DAT companies

Unlike Ethereum, Solana’s DAT companies currently hold higher reserves compared to the relatively new ETF. Despite the inflow streak in the first 18 days since launching, DAT companies hold over $2.4B in SOL. 

Entities added over 20M SOL, staking 9.48M for passive yield. Most of the DAT companies have stopped buying, but continue to increase their SOL through shared validator rewards and a share of fees. 

Sign up to Bybit and start trading with $30,050 in welcome gifts