Summary The Bitwise Solana Staking ETF offers the most structurally attractive long-term Solana exposure due to its low staking fees, competitive expense ratio, and largest AUM. Despite Solana’s robust network fundamentals, a ~70% drawdown and risk-off macro conditions warrant a 'Hold' rating for both SOL and Solana ETFs. Differences in fees, AUM durability, and index construction meaningfully affect compounded returns over time. While alternatives like FSOL and GSOL are viable, BSOL’s scale and fee structure make it the preferred vehicle for multi-year Solana ETF investors. While crypto exchange-traded funds came to market in January 2024 with Bitcoin ETFs, it has taken continued regulatory approvals and time for additional crypto ETFs to emerge. Investors and traders alike can now buy and sell ETFs tracking spot Bitcoin, Ethereum, Solana, and Ripple. With the emergence of such funds, investors are presented with easier on-ramps to gain exposure to the networks that they deem to provide the most utility. For this article, we specifically examine Solana ETFs through the lens of a long-term investor. Specifically, for investors with a two-to-four-year time horizon, we argue that the Bitwise Solana Staking ETF ( BSOL ) offers the most structurally attractive exposure among the available Solana ETFs. While all funds provide access to the same underlying asset, differences in staking take-rates, sponsor fees, AUM durability, and index construction meaningfully affect compounded returns over time. With that said, price performance and network strength do not always move in tandem. Given the ~70% drawdown in SOL, it is likely that cryptocurrencies as a whole will continue to struggle in the short-to-intermediate term. For that reason, I assign “Hold” ratings to both the underlying asset and Solana ETFs but remain optimistic about future long-term returns. Important Fund Specifics To Consider For investors considering adding crypto exposure to their portfolios—specifically Solana—there are several factors to consider. Such factors include sponsor fees, staking fees, AUM, and the varying benchmark indices. In terms of both net expense ratios and net assets, the Bitwise Solana Staking ETF ( BSOL ) ranks above the rest. While some of BSOL’s success can be attributed to its first-mover advantage, being the first Solana ETF to market, other Solana ETFs were quick to follow. We acknowledge that Fidelity, in particular, stands to benefit from its large institutional infrastructure and large distribution network to bring in more capital over time. In an environment in which Crypto ETFs are still very new, scale is important. Large AUM translates to tighter spreads, improved institutional adoption, and lower risk of fund closures. BSOL’s early asset lead strengthens its competitive position and is likely to reinforce its liquidity advantage over time. For current net expense ratios, BSOL , TSOL , and FSOL rank highest, with FSOL still within the expense-waiver period, currently offering a 0% fee. With that said, expenses generally remain in line with one another, ranging from 0.20% to 0.35%. ETF Net Expense Ratio Net Assets (As of 1/31/26) BSOL 0.20% $663.84 million TSOL 0.21% $4.37 million FSOL 0.25%* $139.19 million VSOL 0.30% $26.09 million GSOL 0.35% $159.63 million *0.00% waiver until 05/2026 (Source: Fidelity) In addition to expense ratios, investors must also consider the staking fees, as they vary significantly across funds. The way these fees are implemented also tends to vary. For example, funds like VSOL currently charge a 0.28% fee on total staked Solana, whereas funds like BSOL, GSOL, and FSOL charge a percentage fee on the rewards received from staking. The table below has been included to show the various staking fees for each Solana ETF. While all funds provide access to staking rewards (ranging between 6% and 7% for SOL), the dispersion in staking fees can result in diverging compounding effects over time. Over multi-year holding periods, even a 0.5-1.0% annual difference in retained yield can result in meaningful performance gaps. To this point, BSOL’s lower staking fee structure gives it a compounding advantage over its peers. ETF Staking Fees BSOL 6% of Solana rewards FSOL 15% of Solana rewards VSOL 0.28% of total staked Solana GSOL 23% of Solana rewards (Source: etfdb) Additionally, we also must consider the total amount staked, as this varies across funds. While funds like FSOL and VSOL acknowledge that staking can be up to 100%, funds like BSOL specifically target 100% staking. This is important because the greater the expense ratio, the more yield is actually available. At the time of writing this, BSOL maintains a 100% stake rate with a net staking reward of 6.78% . With an emphasis on staking, BSOL again proves to be the best positioned for longer-term investors. Another difference among Solana ETFs is the underlying Index each fund follows. While all funds own the underlying asset, the way NAV is calculated differs across funds. For example, FSOL utilizes the Fidelity Solana Reference Rate. According to the fund’s prospectus , “this index is designed to reflect the performance of SOL in U.S. dollars (and) is constructed using SOL price feeds from eligible SOL spot markets and the volume-weighted median price (VWMP) methodology…to develop a SOL price composite.” With that said, the index aims to track the spot price and does not include staking. This is fairly common among other Solana ETFs, with VSOL utilizing the MarketVector™ Solana Benchmark Rate, GSOL utilizing the CoinDesk Indices SOL benchmark, and TSOL utilizing the CME CF Solana-Dollar Reference Rate. BSOL differs from its peers in this regard, using the Compass Solana Total Return Monthly Index, which does include staking in the index calculation. With that said, while the underlying index may not make a huge difference during times of stable market environments, we could see price-to-NAV deviate to varying degrees during times of heightened volatility. Network Specifics When considering allocating to a Solana ETF, investors must understand the underlying asset and the dynamics of the network. In doing so, we look specifically at the current supply of stablecoins, on-chain fees, and the number of active addresses. The rebound in Solana’s stablecoin market cap at the beginning of 2026 is typical of such late-cycle environments in which investors rotate from more volatile holdings into stablecoins. This increase in on-chain liquidity (i.e., stablecoin growth) is representative of deployable capital as investors’ risk appetite improves. From a market dynamics perspective, rising stablecoin balances increase potential trading and depth of liquidity, which could amplify future upside potential. In short, we are in a period in which liquidity is rebuilding, waiting to be deployed as the general environment shifts from risk-off to risk-on. However, the current environment still remains very much risk-off. Stablecoins Mcap (Source: DefiLlama) The spike in on-chain fees seen in early 2025, followed by a sharp decline, is broadly representative of the volatility surrounding Solana (and crypto in general). These spikes tend to occur during times of heightened speculation, whereas subsequent declines reflect an overall cooling off in trading activity. The recent stabilization at lower levels suggests a reset from speculative excess to a more sustainable baseline. For investors, this suggests that Solana’s fee and revenue structure is highly reflexive (i.e., expanding aggressively in bull phases and compressing sharply during bearish phases). Chain Fees (Source: DefiLlama) Active addresses remain a key indicator. As such, it serves as a gauge for the overall use and utility of the network. The number of addresses peaked during late 2024/early 2025 and has since stabilized at moderately higher levels as compared to pre-expansion. This is positive, as it shows that the overall network has retained a broader utility base. From a market structure perspective, this suggests that Solana may be transitioning from highly speculative participation to a durable network with more meaningful engagement. This sustained level of engagement is critical for deeper liquidity and improved network effects in the future. Active Addresses (Source: DefiLlama) Technicals And Risks From a structural point of view, Solana remains one of the most robust Layer-1 networks in crypto. With a demonstrated history of throughput advantages and clear use cases across DeFi, stablecoins, and RWAs, it is my opinion that it is likely to maintain its position among the top cryptocurrencies, such as Bitcoin and Ethereum. However, as we have seen in the past, price performance and network strength do not always move in tandem. In the short term, risk remains elevated. With Bitcoin having completed its recent bull expansion phase, peaking at over $120,000, the broader crypto market appears to be entering a cooling-off period. With liquidity moving along the risk curve from cryptocurrencies to domestic/foreign equities and then more tangible stores of value, we are clearly in a risk-off environment. This is supported by the technicals as well. The current price of SOL sits below its 20-week, 50-week, and 200-week moving averages. Down roughly 70% from its intraweek high near $300, the weekly RSI currently shows as significantly oversold, sitting at 28.94. From a risk-reward perspective, the ~70% drawdown suggests a substantial reset in speculative positioning. However, over longer periods, if macro liquidity stabilizes and on-chain metrics such as stablecoin growth, address expansion, and fee growth begin to move higher, SOL is well-positioned to experience significant upside appreciation. Solana Weekly Chart (Source: StockCharts) Final Takeaway In conclusion, while Solana remains one of the most dynamic Layer-1 networks in the crypto space, the ETF structure introduces a second layer of differentiation that long-term investors must consider. In an asset class that remains highly volatile, small differences in staking take-rates and fee construction compound into meaningful differences over time. Among the current offerings, BSOL maintains a majority of the positive attributes. Such factors include the lowest staking take-rate, competitive fee structure, and largest AUM and liquidity profile. These factors collectively position BSOL as the most structurally attractive ETF for multi-year Solana ETF investors. However, we also acknowledge that alternatives such as FSOL and GSOL remain viable options for investors as well. Ultimately, while near-term macro conditions remain risk-off and we maintain a “Hold” position broadly, investors seeking efficient long-term exposure may find BSOL to be the superior structural vehicle in the current landscape.
