CoinShares Withdraws SEC Application for Staked Solana ETF

According to Cointelegraph, asset manager CoinShares has withdrawn its application with the Securities and Exchange Commission (SEC) for a staked Solana exchange-traded fund (ETF). The SEC filing revealed that the structuring deal and asset purchase for the proposed fund were not completed. The filing stated, "The Registration Statement sought to register shares to be issued in connection with a transaction that was ultimately not effectuated. No shares were sold, or will be sold, pursuant to the above-mentioned Registration Statement." The first staked Solana (SOL) ETF in the United States was issued by REX-Osprey in June, followed by Bitwise's staked SOL ETF in October. Bitwise's ETF launched with nearly $223 million in assets on its first trading day, achieving about half the value of the REX-Osprey ETF, which had been trading for several months. Despite the launch of these ETFs and investor interest, the price of SOL has been on a downward trend since reaching over $250 per coin in September. Solana ETFs attracted over $369 million in capital flows during November, as investors sought the yield-bearing opportunities of staked SOL investment vehicles offering 5-7% staking rewards. This trend contrasted with Bitcoin and Ether ETFs, which experienced record outflows during October and November. Analysts had previously forecasted SOL reaching as high as $400 due to capital inflows from ETFs. However, price projections have been revised downward since October, with some analysts now suggesting that SOL faces challenges in reclaiming $150. SOL's price hit a five-month low of approximately $120 in November, representing a 60% decrease from its all-time high of around $295 reached in January 2025. The token's significant rise in January was attributed to the launch of the Official Trump memecoin on the Solana network, which fueled memecoin trading on the platform.