Bitwise Solana ETF Hits $1 Billion Inflows Despite 41% Loss: Staking Yield Explains Why

The Bitwise Solana Staking ETF (BSOL) crossed $1 billion in cumulative investor inflows on Friday, becoming the first single US spot Solana fund to reach that milestone — and doing it under conditions that would normally have driven capital out the door. Launched on October 28, 2025, BSOL crossed the mark in exactly 10 months while the fund's shares traded roughly 40% below their listing price and Solana (SOL) itself sat 60% off its all-time high. Investors sent a billion dollars into a fund that declined in value — and they kept sending it because the fund was also paying them a yield.

That yield is the story. BSOL stakes 100% of its SOL holdings through Bitwise Onchain Solutions, powered by Helius — a dedicated Solana staking technology provider — targeting Solana's average network staking reward of approximately 7% annually. As of the billion-dollar crossing, 96% of the fund's assets were actively staked and earning a net annual reward rate of 5.80%. That is income paid in SOL, accruing continuously, regardless of whether the price of Solana moves up or down. For the class of institutional buyers — registered investment advisers, family offices, and retirement-oriented accounts that cannot hold tokens directly — 5.80% is meaningful income from an asset they could not otherwise earn a yield on.