Bitwise Made a Low Fee Announcement for Solana ETF

As the cryptocurrency world continues to remain active, Bitwise has taken a significant step concerning the management of digital assets by setting a management fee of 0.20% for its Solana (SOL) staking-focused exchange-traded fund (ETF). This rate is noteworthy, as it falls below the expectations of sector analysts who anticipated higher fees.

Eric Balchunas, a leading ETF analyst at Bloomberg, shared on the social media platform X, "Bitwise is showing seriousness by planning to charge only 0.20% for the spot Solana ETF. We expected a higher rate." This low fee strategy is considered an important tactic for attracting investors in the ETF sector. Balchunas emphasized that low-cost funds have "almost a flawless track record" in attracting investors.

Bitwise's decision parallels last year's fee structures for Bitcoin and Ethereum ETFs, which also charged around 0.20%. Thus, it is anticipated that the Solana ETF may draw interest in the potential post-approval period for both the market and investors.

However, the ETF approval process in the U.S. currently faces challenges. The government shutdown has significantly limited the operational capacity of the Securities and Exchange Commission (SEC). This situation has led to a temporary halt in the approval of new crypto ETFs, while the SEC is currently functioning with limited personnel that can only respond to emergencies.

On the other hand, another ETF provider, 21Shares, announced that it would add a staking feature to its Ethereum ETF in the U.S. and offer investors a one-year fee waiver. The company described this move as “the natural evolution of Ethereum-based products in the U.S. market." In light of these developments, innovations that will attract investors continue to emerge alongside Bitwise’s Solana ETF.