Bloomberg Analyst: REX-OSPREY SOL Spot ETF Total Fees May Reach 1.28%, Caution Advised as Market Interest May Fall Short of Expectations

BlockBeats News, July 1 — Bloomberg Senior ETF Analyst Eric Balchunas posted on social media stating, “The REX-Osprey SOL Spot ETF (SSK) will officially launch this Wednesday, marking the first ETF in the US to allow staking. Forty percent of the ETF’s assets will be held in the form of ‘securities’ through other Solana-related ETPs to comply with the requirements of the Investment Company Act of 1940. The management fee is 0.75%, but due to the C-corporation structure, the total expense ratio will reach 1.28% after accounting for tax expenses.”

Although this is a noteworthy new product launch, it’s important to remain rational and manage expectations. Three months after its listing, SOLZ (the Solana Futures ETF) has only reached $22 million in assets, which is underwhelming, especially considering SOL has already risen by 15%. If given the choice, investors generally prefer 100% spot products under the Securities Act of 1933, but there is currently no clear timeline for these products to go live. Unlike spot Bitcoin ETFs, Solana-related ETFs have yet to see a ‘fee war’ or participation from major firms like BlackRock or Fidelity.”