Bitrabo Editorial
3iQ Digital Asset Management disclosed the submission of a preliminary prospectus for The Solana Fund (QSOL) to regulatory bodies in Canada, signaling a potential breakthrough as the first Solana (SOL) ETP in North America. If approved, QSOL is set to be listed on the Toronto Stock Exchange (TSX) under the symbol “QSOL”.
Milestone Achievement for the First Solana ETP
This listing signifies a significant achievement for 3iQ, a prominent figure in digital asset investment solutions globally, known for pioneering the first publicly traded Bitcoin and Ether funds in Canada.
QSOL is designed to provide investors exposure to SOL cryptocurrency, track SOL’s daily price fluctuations in US dollars, and offer prospects for long-term capital growth. Additionally, the fund is expected to capitalize on staking rewards from the Solana network, with projected yields ranging between 6-8%.
Greg Benhaim, 3iQ’s Executive Vice President of Product and Head of Trading, highlighted the company’s dedication to innovation and adherence to regulatory standards, aiming to elevate the digital asset investment landscape in Canada responsibly.
Bolstered by partnerships with Canaccord Genuity as the offering agent, alongside Tetra Trust and Coinbase Custody Trust Company, LLC as custodians, the fund will leverage Coinbase Custody’s institutional staking infrastructure critical for SOL staking support.
The introduction of QSOL is projected to deliver a regulated investment avenue adhering to rigorous standards for retail and institutional investors, aligning with 3iQ’s objective of providing accessible cryptocurrency investment opportunities.
While this milestone is a first in North America, Solana ETPs have gained traction worldwide. In Europe, products like the 21Shares Solana Staking ETP and the ETC Group Physical Solana product boast assets exceeding $1 billion. Approval and prosperity of QSOL could open doors for additional Solana-based investment instruments in North America.
James Seyffart, a Bloomberg ETF analyst, highlighted Canada’s progressive stance on cryptocurrency ETFs, noting its precedence with Bitcoin and Ethereum ETFs compared to the US.
However, Seyffart clarified that QSOL isn’t an ETF but a Closed-End Fund resembling Grayscale trust products. He underscored Canada’s mechanisms to prevent extreme discounts or premiums, citing 3iQ’s previous successful implementation with a Bitcoin fund. The launch of QSOL remains contingent on approval.
Established in 2012, 3iQ has cemented its position as an innovative force in digital asset management, offering various investment products such as The Bitcoin Fund (TSX: QBTC) and The Ether Fund (TSX: QETH), with substantial net assets. Noteworthy offerings include the Bitcoin ETF (BTCQ) and the Ether Staking ETF (ETHQ), showcasing the firm’s commitment to cutting-edge and regulated digital asset solutions.
As of the latest update, SOL was trading at $132.