VanEck has filed an S-1 registration statement with the U.S. Securities and Exchange Commission (SEC) to launch a JitoSOL ETF, marking a potential turning point for Solana (SOL) exposure within regulated investment products. This ETF will be fully backed by JitoSOL, a liquid staking token for staked Solana, offering investors a novel way to access Solana staking rewards through traditional brokerage accounts.
This move by VanEck follows months of engagement between Jito's legal and policy teams and the SEC, with the aim of aligning the structure of liquid staking tokens with the regulator's emerging framework. Rebecca Rettig, Chief Legal Officer at the Jito Foundation, initiated this effort with an analysis arguing that JitoSOL functions as decentralized infrastructure rather than a security.
The SEC's stance on staking has been evolving, with key interventions in May and August of this year. A staff statement in May clarified that certain staking activities do not inherently fall under securities laws. This was further refined in August with additional clarity on liquid staking tokens. These statements paved the way for VanEck's JitoSOL ETF filing, testing the SEC's guidance and potentially opening doors for similar products in the future.
The proposed VanEck JitoSOL ETF aims to provide secure and regulated trading of a crypto-linked product. The ETF will use the MarketVector JitoSOL Benchmark Rate to determine pricing, utilizing data from top exchanges reviewed by industry analytics.
VanEck's filing represents a significant step in bridging the gap between decentralized finance (DeFi) and traditional finance. By offering an ETF backed by a liquid staking token, VanEck aims to provide broader access to staking rewards for a wider range of investors.
