VanEck enables staking for Solana ETP in Europe

Asset manager VanEck has announced that its Solana exchange-traded bond offered to investors in Europe now includes staking.

Staking for VanEck’s Solana (SOL) ETN for the European market will be open to all holders of VSOL, which currently has $73 million in assets under management. Founded in Liechtenstein, ETN is a digital exchange-traded product that aims to mirror the price of Solana.

It replicates both the price and yield of the volume weighted average price of SOL, the asset that provides 100% collateral for the ETN.

Staking rewards will accrue daily

Regulatory requirements require asset managers to segregate client funds to protect clients’ assets. In this case, VanEck does not stake customer funds through its own infrastructure, but instead uses custodians for physical SOL tokens.

According to Mathew Sigel, head of digital asset research at VanEck, custodians delegate SOL to validator nodes with tokens held in cold storage. Staking rewards will be accrued daily, and these rewards will be reinvested and calculated as part of the product’s end-of-day net asset value. VanEck will manage staking risk to ensure daily liquidity.

VanEck’s expansion into staking comes shortly after the company launched VanEck Ventures, a $30 million fund focused on early-stage startups in fintech, digital assets and artificial intelligence.

As Crypto.news recently highlighted, the fund has already attracted four undisclosed investments.