Key takeaways:
- REX Shares and Osprey Funds will soon get a final confirmation from the SEC to launch Staking-based Solana and Ethereum ETFs.
- These ETFs, named REX-Osprey Eth + Staking ETF and REX-Osprey Sol + Staking ETF, will provide extra income through staking.
- Once approved, the ETFs will launch around mid-June 2025.
- According to the latest reports, the SEC received more than 80 altcoin ETF applications recently.
REX Shares and Osprey Funds announced yesterday that they have received effective registration from the SEC for their REX-Osprey ETFs that allow U.S. investors to earn by staking their Ethereum and Solana tokens. These distinct ETFs that bypass the 19-b4 process introduce a novel method through the 40-Act funds structure.
In January 2025, both RexShares and Osprey filed for seven ETFs, including BTC ETF, SOL ETF, ETH ETF, and TRUMP ETF. However, the SEC was hesitant to approve ETFs that allow the issuers to stake their holdings to generate extra revenue. But the SEC’s later clarification that staking activities under the Proof-of-Stake protocol do not equate to securities helped ETH and SOL ETFs’ approval.
While REX-Osprey claims that all required steps have been taken, the SEC has yet to announce the final confirmation. Following the approval, the REX-Osprey Eth + Staking ETF and REX-Osprey Sol + Staking ETF are expected to launch by mid-June 2025.
Approval of Staking ETFs Opens New Era for Crypto ETFs
Approval of Staking-based Ethereum and Solana ETFs by the Securities and Exchange Commission arrives amidst the discussion regarding whether investors will choose private wallets to store their crypto rather than delving into ETF products. This will pioneer the path for innovative financial products and open new possibilities within the boundaries of the regulatory framework.
While web3 wallets are widely getting adopted into the mainstream investing environment, the emergence of distinct altcoin ETFs, like those provided by Rex-Osprey, will likely attract investors in the next decade, says blockchain experts.
Around 80 Crypto ETF Applications are Under Review by the SEC
According to the latest reports, around 80 crypto-related ETF applications are being reviewed by SEC Chairman Paul Atkins. This includes various altcoins such as Aptos, Cardano, Chainlink, and XRP. The previous SEC administration clearly showed an avoidance of altcoin ETFs by rejecting around 20 ETF proposals from 2018 to 2023.
The new Trump administration is expected to approve multiple altcoin ETFs soon, resulting in an altcoin bull run. Eric Balchunas recently shared the list of altcoin ETFs waiting for approval on his X handle, expecting the list to triple in size in the upcoming months. According to him, we can expect a wild run soon. There are various altcoins that offer unique features apt for ETF issuers.
About REX-Osprey
REX-Osprey is a collaboration between REX Shares & Osprey Funds, aiming to provide alternative-strategy ETFs and ETNs. REX Shares launched Osprey Funds in 2019 as the crypto division of the firm, and it emerged as a standalone company in 2021. Now, both work together to integrate blockchain wisdom with traditional finance, launching more than 100 ETF products.