Dear Subscriber,

By Mark Gough

A new milestone in crypto investing arrived today.

That’s because, when the bell rang out on Wall Street, the REX-Osprey™ SOL + Staking ETF (SSK) officially began trading on U.S. markets.

This isn’t just another blockchain-themed fund.

It’s the first — and so far, only — U.S.-listed ETF to offer both direct exposure to Solana (SOL, “B”) and native on-chain staking rewards.

That distinction matters.

SSK combines spot SOL holdings with a staking yield that’s paid out to investors in cash.

But more than that, it has built a bridge between blockchain-native income and traditional financial products.

And it may just set the tone for the next wave of crypto ETF innovation.

A Breakthrough for Crypto ETFs

SSK represents a structural first in U.S. markets.

Previous crypto ETFs have provided price exposure to assets like Bitcoin (BTC, “A-”) or Ethereum (ETH, “A-”). But none have successfully wrapped native staking rewards into a regulated investment product.

SSK changes that.

The fund directly stakes SOL on the Solana network. Then, it distributes the resulting staking rewards — currently yielding 7.3% — to investors as monthly cash payouts.

That means yield-hungry investors can now access blockchain-native income easily.

No need to open a crypto wallet, manage private keys or deal with validator infrastructure.

According to REX Financial CEO Greg King, SSK essentially built “a bridge between the world of TradFi securities investments and the world of crypto investments.”

How SSK Works

The fund is a collaboration between REX Shares and Osprey Funds. And it leverages existing regulatory frameworks to deliver this novel structure.

Here’s how it operates:

• Core Exposure: SSK holds the majority of its assets in directly staked SOL.

• Diverse Yield Sources: Up to 40% can be allocated to SOL-linked exchange-traded products that also stake. And a small portion may include liquid staking tokens like JitoSOL.

• Payout Mechanics: 100% of staking rewards are passed to shareholders. Neither REX nor Osprey retains any share of the yield.

• Custody & Security: Anchorage Digital secures assets in cold storage. That is, offline to increase security.

• Fund Structure: SSK is organized under the Investment Company Act of 1940 and is taxed as a C-corporation. This is what allows it to operate within a familiar regulatory framework.

• Fees: The fund has a total annual expense ratio of 1.40%, comprising a 0.75% management fee and an estimated tax expense of approximately 0.65%.

Why It Matters for Solana Holders and Yield Seekers

The SSK launch comes at a time of rising interest in Solana, which has emerged as one of the most widely adopted high-performance Layer-1 networks.

Its appeal spans DeFi, NFTs, real-world assets. And now, TradFi-aligned ETFs join that list.

What makes SSK compelling is that it solves one of the biggest friction points for mainstream investors: access to yield without complexity.

Most investors still don’t feel comfortable staking directly or using crypto-native platforms.

With SSK, that barrier is removed. And the yield is delivered straight to brokerage accounts in monthly distributions.

With current staking rates near 7.3% and SOL trading under $150 at launch, SSK offers a potentially attractive risk-reward setup for those looking for income and price appreciation in a single wrapper.

ETH ETFs: A Missing Piece Now in the Spotlight

The launch of SSK also throws the limitations of recently approved Ethereum ETFs into sharp relief.

Despite Ethereum being a proof-of-stake asset since 2022, the current wave of ETH ETFs launched in May 2024 do not allow staking.

This omission leaves behind one of Ethereum’s core value propositions: its validator yield, which typically ranges between 3% and 4%.

We’ve highlighted this gap in previous Weiss Crypto Daily updates. Staking is a crucial unlock that could drive significantly more demand for Ethereum ETFs once approved.

Now, it appears that the market is already front running that expectation.

In June, Ethereum ETFs attracted $1.17 billion in inflows, making it their second-best month since launch.

And that’s without staking enabled!

When staking becomes permitted, we expect these flows to increase materially. In fact, we could potentially see them mirror the trajectory Bitcoin ETFs saw once they gained SEC approval.

SSK is now the precedent. Which means the path for Ethereum ETFs to follow suit is already being paved.

Key SSK Details at a Glance

Investor Risks and Considerations

SSK offers an elegant solution for yield-seeking investors. But it’s not without risks.

For example …

• SSK is not a pure SOL tracker: Because of its C-corp structure and tax drag, SSK may underperform direct SOL price movements.

• It offers variable rewards: Staking yields fluctuate based on validator participation, inflation schedules and network governance.

• Tax complexity: Distributions may be taxed as ordinary income, capital gains or return of capital. Investors should consult a tax advisor.

As always, investors should review the fund’s prospectus and consider their risk tolerance before making an allocation.

Final Thoughts: A Turning Point for Staking Access

The debut of SSK signals a new era for crypto income products.

This is no longer price speculation. Staking is becoming institutionalized.

It also intensifies pressure on other asset managers and regulators.

With firms like VanEck, 21Shares and Franklin Templeton already filing for their own Solana ETFs, competition is heating up rapidly.

And with Ethereum ETF inflows accelerating, staking activation may soon be the next regulatory domino to fall.

If that happens, we expect a broad re-rating of crypto ETFs across the board, especially those that can deliver both yield and exposure.

SSK is the first mover. And I strongly believe it won’t be the last.

Best,

Mark Gough

P.S. Of course, if you are comfortable navigating DeFi, you can find much higher yields than the 7.3% APY SSK offers.

In fact, you can target higher yields even when exclusively using stablecoins that are pegged to the U.S. dollar.

I’m talking yields of 12.4%, 13.8% and 15.4%.

All with minimal risk to your principal.

What about opportunities that include SOL and similar blue-chip, variable-price coins?

On those, our DeFi expert Marija Matić has been able to target yields of 361% … 912% … and even 1,168%.

Marija will reveal her strategy to find and target these exclusive DeFi opportunities on Monday, July 7, at 2 p.m. at her upcoming event, High Yield Summit: Profit Like a Bank.

With TradFi institutions now entering the yield hunting game, I don’t want you to get left behind.

So be sure to save your seat for this exclusive event now … before they’re gone.