VanEck’s groundbreaking S-1 proposes a fund solely holding the staking derivative, JitoSOL. This move tests recent SEC guidance that opened a potential path for liquid staking tokens to enter regulated exchange-traded products.
Summary
- VanEck filed an S-1 for a JitoSOL ETF, a fund fully backed by the liquid staking token for staked Solana.
- The filing tests recent SEC guidance allowing certain liquid staking tokens in regulated ETFs.
- This proposal follows REX-Osprey’s integration of JitoSOL into its own Solana staking ETF
On August 22, the Jito Foundation announced that investment manager VanEck had formally filed an S-1 registration statement with the SEC for a novel exchange-traded fund. Unlike traditional spot crypto ETFs, the proposed VanEck JitoSOL ETF would be exclusively composed of JitoSOL, a liquid staking token that represents staked Solana plus its accrued rewards.
The filing is the direct result of a meticulous, multi-month campaign by Jito’s legal and policy teams to engage with SEC staff and align the structure of liquid staking tokens with the regulator’s emerging framework, the foundation said.
The regulatory blueprint behind JitoSOL ETF
According to the announcement, the foundation’s Chief Legal Officer, Rebecca Rettig, laid the initial groundwork in March with a comprehensive analysis arguing that JitoSOL operates as decentralized infrastructure, not a security. This report provided the crucial legal thesis that subsequent SEC staff statements would seemingly echo.
The momentum accelerated with key SEC interventions in May and August. The May staff statement on protocol staking drew a critical distinction, clarifying that certain staking activities do not inherently implicate securities laws. This was followed by an August statement that provided additional clarity specifically on liquid staking tokens, effectively building a policy foundation that a product like the VanEck JitoSOL ETF could stand on.
For investors, the significance is operational and economic. By using JitoSOL as the underlying asset, the ETF structure solves a fundamental liquidity problem inherent in staking. The token eliminates unbonding periods, allowing the fund to manage daily creations and redemptions seamlessly while the underlying SOL continues to earn staking rewards.
VanEck’s proposal arrives just one month after REX-Osprey moved to integrate JitoSOL into its own Solana staking ETF, signaling a burgeoning institutional arms race centered on yield-bearing strategies. This back-to-back activity underscores a broader trend: asset managers are rapidly moving beyond simple spot exposure and are now competing to offer investors efficient access to crypto’s native yield economy within regulated wrappers.
