VanEck Solana ETN in Europe Now Supports Staking Service

VanEck Solana ETN Launches Automatic Staking in Europe

The feature allows investors to accrue staking rewards that will be automatically added to the ETNs SOL token equity and thus reflected in its daily terminal value. The assets under management for the VanEck Solana ETN currently stand at $73 million.

By adopting a non-custodial staking approach, the company minimizes the associated risks, ensuring that SOL tokens deployed in staking remain under the custody of the custodian holding the ETNs assets. This, therefore, reduces any counterparty risk from third-party control of the staked assets. Investors in the VanEck Solana ETN are automatically enrolled for staking, with no need to take any direct action.

The staking rewards gained will be distributed proportionally to all VanEck Solana ETN holders, irrespective of the time of purchase of the asset. However, a 25% advance deduction is made on the reward before its distribution to the wallet holders. By default, this enrollment in staking and deduction of fees is one of the major features of the VanEck offering, making it very seamless for the investor.

During staking, the SOL tokens held by the VanEck Solana ETN are delegated to validator nodes operated by external staking service providers. At this point, though, the SOL tokens themselves continue to remain under the full control of the custodian, which further secures assets.

VanEck Files for First U.S. Solana ETF Amid Growing Market Interest

Besides, VanEck has been at the frontline in other segments related to crypto investment. The company is among the prominent filers of spot Bitcoin ETFs. In July, the company filed for the first Solana exchange-traded fund (ETF) in the United States.

The recent interest in Solana, catalyzed by the launch of Web3 projects and meme coins, has created a feeling that it could be a matter of time before the introduction of the Solana ETF.