- Canada approves first spot Solana ETFs with staking, launching April 16 on local exchanges.
- SOLZ futures ETF in the U.S. sees low traction with a -6.33% return since its March debut.
- New CSA rules mandate cold storage, limited leverage, and transparent crypto asset reporting..
Canada will officially launch the world’s first spot Solana ETFs on April 16, following approval from the Ontario Securities Commission. These ETFs will offer direct Solana exposure with staking capabilities, avoiding reliance on futures-based instruments or synthetic derivatives.
OSC Approves Physical Solana ETFs with Staking Options
In a report by Money Guru Digital on X, ETF issuers Purpose, Evolve, CI, and 3iQ received clearance from the OSC to offer spot Solana ETFs. These funds will hold physical Solana and track multiple indices, giving investors regulated exposure to the network’s performance. The funds are structured to simplify Solana access for both institutional and retail markets.
The approved ETFs include a staking component executed through third-party custodians. This design aims to generate yield from on-chain rewards while keeping investor assets within a traditional ETF wrapper. This approach distinguishes these products from prior crypto ETFs in Canada and globally.
Futures-Based SOLZ Sees Slow Uptake in U.S. Market
Earlier in March, Volatility Shares launched SOLZ, a U.S.-based Solana ETF using futures contracts. As of April 14, SOLZ held $5.57 million in assets and traded at $15.08, slightly above its $15.05 NAV. The fund holds 85 April Solana futures contracts and allocates the rest to cash equivalents.
Since inception, SOLZ returned -6.33%, reflecting volatility in futures-based strategies. It does not invest directly in Solana and targets sophisticated investors capable of navigating derivative exposure. Market reception remains muted compared to Canada’s direct Solana ETF rollout.
The Canadian launch presents a shift in structure, using physically held assets and native staking instead of synthetic exposure. This setup may better align with investor demand for yield, transparency, and blockchain participation.
CSA Strengthens Oversight on Crypto Asset Funds
The Canadian Securities Administrators proposed updates to National Instrument 81-102 to formalize oversight of crypto asset funds. Key rules require cold wallet storage, detailed valuation processes, and independent custodial reports. Staking and leverage will remain limited and tightly regulated.
Eligible assets must trade on recognized exchanges, meet liquidity standards, and pass transparency tests. Funds must disclose custody arrangements and insurance protections. These measures aim to ensure regulated crypto fund operations while safeguarding investor capital.
