Wall Street’s Solana Bet Advances as Fidelity Updates ETF Filing

Fidelity Investments has filed a pre-effective amendment for its Solana ETF with the Securities and Exchange Commission, moving the registration toward automatic ￰1￱ filing reveals the fund will stake all its SOL holdings to generate returns exceeding the Fidelity Solana Reference Rate while charging a 0.25% annual fee, fully waived for the first six months after ￰2￱ update pushes Fidelity into a rapidly expanding Solana ETF market , which has already seen three products debut on U. S. exchanges, capturing combined first-day inflows exceeding $81 ￰3￱ to the official filing, Fidelity has submitted an updated S-1 registration for its spot Solana ETF, removing the “delaying amendment,” which previously prevented the registration from becoming automatically effective and placed timing control in the hands of the SEC.… — Wu Blockchain (@WuBlockchain) October 30, 2025 Fidelity Structures Aggressive Staking Strategy The Fidelity Solana Fund will stake up to 100% of its SOL tokens through custodians Anchorage Digital, BitGo, and Coinbase Custody, with node operators including Coinbase Crypto Services and ￰4￱ rewards will be subject to a 15% fee split among the sponsor, custodians, and operators, with the Trust expected to unstake SOL within two days when needed for ￰5￱ fund will trade under ticker FSOL on an undisclosed exchange, offering creation and redemption baskets of 25,000 shares settled in either SOL or ￰6￱ support this dual-settlement approach, Fidelity has secured trading agreements with counterparties, including Cumberland DRW, Jane Street Capital affiliates, and Virtu Americas, to facilitate cash ￰7￱ the ambitious structure, the filing acknowledges substantial regulatory risk, noting the SEC has previously classified SOL as a security in enforcement actions.

However, some cases have been dismissed or ￰8￱ registration warns that a definitive security classification could trigger immediate material impact on SOL’s trading value and potentially force the fund’s ￰9￱ Dominates Early Market While Fidelity prepares to enter, early movers have already claimed significant market share. Bitwise’s Solana ETF captured $69.5 million on its October 28 debut , nearly six times the $12 million raised by Rex-Osprey’s competing ￰10￱ Bitwise Solana Fund stakes 100% of holdings in-house to deliver the network’s full yield while charging a 0.20% management fee, waived for three ￰11￱ one day later, Grayscale launched its Solana Trust ETF on NYSE Arca , converting a 2021-vintage private trust holding 525,387 SOL ￰12￱ fund carries a 0.35% expense ratio and stakes 74.89% of assets, passing 77% of staking rewards to investors on a net basis. @Grayscale launches Solana ETF on NYSE Arca, becoming the third ￰13￱ as institutional adoption of proof-of-stake blockchains accelerates. #Solana #ETF ￰0￱ — ￰14￱ (@cryptonews) October 29, 2025 Meanwhile, Rex-Osprey’s SSK employs a hybrid structure holding 54% in direct Solana, 43.5% in a Swiss-listed CoinShares ETP, with the remainder in JitoSOL and ￰15￱ fund distributes monthly staking rewards, which are treated as a return of capital for tax purposes, while charging a 0.75% expense ￰16￱ Appetite Tests Layer 1 Power Balance Speaking with Cryptonews, Maria Carola, CEO of StealthEX, views the Solana ETF wave as a defining moment in blockchain competition. “ The launch of a spot ETF on Solana is a signal that has broken out in the protracted battle for dominance in the Layer 1 blockchain space, ” she said. “ For the first time, institutional investors are being invited to consider Solana as a standalone macro asset. “ Carola notes projections of $3 billion in ETF inflows over 12-18 months depend on Solana maintaining its 2024 momentum in DeFi expansion and network stability. “ Solana’s story is one of speed, scalability, and engineering precision, but for many market participants, it remains a symbol of short-term liquidity cycles and the fleeting hype of meme tokens,” she said.

“An ETF alone won’t change this perception overnight. “ She acknowledges Ethereum’s commanding position, with over $60 billion locked in DeFi and a mature staking ecosystem that continues to attract institutional capital seeking predictability. “ In the long term, it’s Ethereum’s fundamentals, such as stability, institutional reputation, and integration into the global financial system, that maintain its leadership ,” Carola said. However, she proposes a coexistence model in which “ Ethereum serves as the underlying trust and settlement layer in the on-chain economy, while Solana becomes its high-performance execution engine. “ Despite positive sentiment around ETF launches, SOL’s near-term price action remains ￰17￱ gives Solana just a 25% chance (down 2% from yesterday) of reaching a new all-time high before 2026, with SOL trading at $196, up nearly 1% over 24 hours.