TL;DR
The competition among crypto exchange-traded funds is shifting toward a new factor beyond trading activity and management fees. According to a recent report from 21Shares, Solana ETFs may gain a major advantage as investors increasingly focus on staking income tied to proof-of-stake networks.
The firm estimates that Solana staking currently generates annual rewards near 5.69%, while Ethereum offers around 2.87%. That gap is becoming more important as institutional investors search for products capable of combining digital asset exposure with recurring yield.
The crypto ETF sector continues expanding at a rapid pace in 2026. Recent market data from 21Shares shows that crypto ETPs attracted roughly $31 billion in net inflows during 2025, while trading volumes approached $880 billion across global markets.
Several asset managers are now positioning Solana-linked products as yield-focused alternatives within the growing ETF industry. Among the most followed products are the VanEck Solana ETF, Bitwise Solana Staking ETF, 21Shares Solana ETF, and Grayscale Solana Trust.
Staking allows blockchain participants to validate transactions and secure networks in exchange for rewards. In ETF structures, that mechanism could provide shareholders with passive income without requiring direct custody of tokens or interaction with validators.
The discussion accelerated after US regulators showed greater openness toward staking features in spot Ethereum products during late 2025. That regulatory shift encouraged issuers to explore similar structures for Solana-based ETFs.
While Ethereum remains the largest smart-contract ecosystem, Solana continues attracting attention from trading firms and institutional investors due to its lower transaction costs and faster transaction speeds. DeFi activity on Solana also recovered strongly over the past year, with several decentralized exchanges increasing market share against Ethereum-based competitors.
For ETF issuers, staking introduces a different way to compete. Crypto funds have historically focused on accessibility and liquidity, but yield may now become one of the main selling points for long-term investors.
Analysts also note that Solana’s staking model maintains relatively stable participation rates compared with several competing networks. That consistency may strengthen the appeal of SOL-linked investment products if demand for income-oriented crypto exposure keeps increasing.
