The launches marked a shift in SEC policy, as altcoin ETFs gained approval with staking and in-kind creation features.
Crypto ETF market saw an active week, as Bitwise Solana ETF (BSOL) led the strong debut of new altcoin exchange-traded funds (ETF) with $56 million in first-day trading volume, topping all 850 ETF launches this year.
Three altcoin exchange-traded funds launched on Oct. 28 with features previously unavailable in US crypto products. Canary Hedera ETF (HBR) posted $8 million in volume, while Canary Litecoin ETF (LTCC) registered $1 million.
Farside Investors reported that BSOL attracted $69.5 million in inflows on its debut.
Bloomberg senior ETF analyst Eric Balchunas noted on Oct. 28 that BSOL’s $56 million in trading volume exceeded that of every other launch in 2025, including XRP, the Solana interval fund SSK, and other high-profile products.
Balchunas added that BSOL is seeded with $220 million in assets. Had the fund invested that seed capital on launch day, total volume could have approached $280 million, rivaling the debut of some Ethereum ETF products.
President of NovaDius Wealth, Nate Geraci, stated that spot XRP ETFs would likely see similar or greater reception based on the performance of existing Solana and XRP products on the market.
In recent crypto news, REX-Osprey Solana ETF (SSK) registered $30 million in volume on Oct. 28, nearly half of Bitwise’s BSOL.
The product had already launched earlier in 2025 under a different regulatory structure as an interval fund.
The debut of new altcoin ETFs sparked some action in other altcoin-related products.
REX-Osprey XRP ETF (XRPR) recorded $6.4 million in volume. The figure aligned with the broader appetite for altcoin ETF exposure.
REX-Osprey Dogecoin ETF (DOJE) posted $1.6 million, the largest volume for that product in the past four trading days.
Regarding other crypto ETF players, Bitcoin and Ethereum ETFs, inflows are a more meaningful performance metric.
Bitcoin ETFs registered $202.4 million in inflows on Oct. 28. The products amassed $462.6 million in total inflows over the prior four trading days with positive flows.
Ethereum ETFs drew $246 million in inflows on Oct. 28 and $379.9 million across the week spanning Oct. 27 and 28.
The SEC’s Division of Corporation Finance stated on May 29 that protocol staking activities do not constitute securities transactions and do not require registration.
Analysts saw the new stance as removing the last hurdle to approving crypto ETFs with staking enabled, which was not possible until recently.
The guidance marked a reversal from the agency’s prior enforcement posture under former Chair Gary Gensler.
Geraci highlighted the regulatory shift on Oct. 28. He noted that crypto ETF launched that day held spot altcoins, enabled staking, and allowed in-kind creations and redemptions.
He referenced the conclusion of Grayscale’s lawsuit against the SEC two years earlier, noting that the industry had advanced considerably since that milestone.
Notably, Grayscale’s lawsuit was the spark that led to the approval of Bitcoin ETFs. The court ruled that the SEC acted “arbitrarily and capriciously” on the grounds that crypto ETFs would facilitate market manipulation.
Additionally, the SEC approved generic listing standards on Sept. 17, allowing exchanges to list commodity-based exchange-traded products without individual agency reviews.
The decision enabled exchanges to proceed with ETF listings by bypassing the 19(b) rule filing process, which previously required up to 240 days and active SEC approval or disapproval.
SEC Chairman Paul Atkins stated the decision aimed to reduce barriers to accessing digital asset products in regulated US marketplaces.
The framework opened the door to additional spot-based altcoin crypto ETF applications awaiting regulatory approval.
The three altcoin ETF debuts on Oct. 28 demonstrated institutional and retail demand for exposure beyond Bitcoin and Ethereum.
BSOL’s record first-day volume noted the appetite for products offering staking yields and efficient redemption features.
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