Volatility Shares Launches First Ever Solana ETFs

• Volatility Shares launched the first Solana futures ETFs, SOLZ and SOLT.
• Bloomberg analysts estimate a 75% chance of a spot Solana ETF approval in 2024
• Solana surged 6.23% to $134.12 as trading volume spiked 70% to $3.6B.

Volatility Shares LLC created the first exchange-traded funds (ETFs) that track Solana futures products. The Florida-based firm introduced two new Solana ETFs on Thursday, SOLZ and SOLT. SOLZ will track Solana futures, while SOLT will offer leveraged exposure at twice the futures performance.

These products mark the first time Solana futures are available in an ETF structure. According to the firm’s regulatory filing, SOLZ will carry an expense ratio of 0.95%, while SOLT will have a 1.85% fee. The ETFs arrive amid increasing institutional interest in Solana, which has a Market capitalization of approximately $68 billion.

Growing Institutional Interest in Solana ETFs

Approving Solana futures ETFs signals a growing interest in expanding crypto investment products. Previous market trends indicate that futures ETFs often precede spot ETFs. Bitcoin and Ether followed this trajectory, launching futures before their respective spot ETFs.

Bloomberg Intelligence analysts estimate a 75% chance of spot Solana ETF approval this year. Investors’ demand for direct exposure to digital assets remains high, and Solana has positioned itself as a strong contender for regulatory approval. Spot Bitcoin ETFs have accumulated $92 billion in assets since their introduction in early 2024, while spot Ether ETFs have attracted $6.5 billion.

Market Conditions and Future Outlook

The Solana price surged to $134.12 in one day, showing a 6.23% rise in the past 24 hours. The trading volume skyrocketed by 70% to hit $3.6 billion during the past 24 hours. Solana endures as an essential cryptocurrency framework because of its inexpensive transaction capabilities and institutional investor support despite its substantial value drop since the beginning of this year.

Source: Coinmarketcap

Market volatility does not discourage ETF firms from pursuing new business opportunities. The introduction of Solana futures ETFs matches current market trends because asset managers are expanding their product offerings. ETF firms such as Franklin Templeton, Grayscale, and VanEck have separately filed spot Solana ETF applications, showing that regulatory approval might come soon.