US spot Solana ETFs experienced their first net outflows of $8.1 million on Wednesday, marking a shift from their initial inflow streak since launch. The 21Shares Solana ETF (TSOL) drove this reversal with over $34 million in withdrawals, while other funds like Bitwise’s BSOL absorbed inflows totaling $13.33 million, according to data from SoSoValue.
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Solana ETF Outflows: The 21Shares Solana ETF (TSOL) saw $34 million in single-day withdrawals, contributing to cumulative net outflows of $26 million since inception.
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Offsetting Performance: Funds like the Bitwise Solana Staking ETF (BSOL) recorded $13.33 million in inflows, pushing its total to $527.79 million.
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Overall Holdings: Solana ETFs collectively hold 6.83 million SOL tokens, valued at approximately $964 million, per Solana Strategic Reserve data.
Solana ETF outflows hit $8.1M for the first time as TSOL withdraws $34M. XRP ETFs shine with steady inflows, while DOGE disappoints. Discover key crypto ETF trends for 2025 investors—stay informed on market shifts today.
What Caused the First Outflows in US Spot Solana ETFs?
Solana ETF outflows emerged on Wednesday when US spot Solana exchange-traded funds recorded $8.1 million in net outflows, ending their perfect inflow run since launch. This shift was primarily driven by the 21Shares Solana ETF (TSOL), which faced over $34 million in withdrawals in a single day, leading to cumulative net outflows of $26 million overall. Despite this, the broader Solana ETF category showed resilience, with other products attracting fresh capital to mitigate the impact.
Solana ETF performance data. Source SoSoValue
The reversal highlights the volatility inherent in cryptocurrency markets, even for established assets like Solana. Data from ETF analytics provider SoSoValue indicates that TSOL’s net assets stand at $86 million following these movements. Meanwhile, positive performances from competitors helped balance the day’s totals, underscoring diversified investor interest in Solana-based products.
How Are XRP ETFs Performing Amid Solana’s Setback?
XRP ETFs have maintained an impeccable record of daily inflows since their debut, contrasting sharply with the Solana ETF outflows. According to SoSoValue, these funds have accumulated a cumulative net inflow of $643 million, with Wednesday’s activity featuring $7.4 million into the Bitwise XRP ETF (XRP) and $5.2 million for Canary’s XRPC ETF. Franklin Templeton’s XRPZ and Grayscale’s GXRP each drew around $4 million, reflecting sustained demand for XRP exposure.
XRP inflows and cumulative net assets. Source: SoSoValue
This steady performance aligns with broader market confidence in XRP, bolstered by regulatory clarity and institutional adoption. Expert analysts note that XRP’s utility in cross-border payments continues to attract investors seeking stability amid crypto fluctuations. For instance, Bloomberg ETF analyst Eric Balchunas has observed that such consistent inflows signal maturing investor strategies in altcoin ETFs, potentially setting a benchmark for future launches. Short sentences like these emphasize the data: inflows remain positive, assets grow, and XRP’s ecosystem expands. With no outflows recorded, XRP products demonstrate resilience, holding significant promise for portfolio diversification in 2025.
In parallel, the landscape for meme-inspired investments tells a different story. Dogecoin ETFs, recently approved for listing on the New York Stock Exchange as the Grayscale Dogecoin Trust ETF (GDOG), have underperformed expectations. Balchunas forecasted around $11 million in debut volume, but the fund only achieved $1.4 million on its first trading day—a figure he described as “solid” for an average launch but underwhelming for a pioneering spot product. Subsequent data from SoSoValue reveals a net inflow of $1.8 million on Tuesday, dropping sharply to $365,000 the next day, an 80% decline that underscores challenges in capturing sustained interest for Dogecoin amid market saturation.
This disparity between Solana’s mixed results, XRP’s strength, and Dogecoin’s struggles illustrates the nuanced dynamics of crypto ETFs. Investors are increasingly selective, favoring assets with clear use cases over speculative plays. Solana’s staking features, as seen in BSOL’s dominance with $527.79 million in cumulative inflows, continue to draw yields-focused capital. Grayscale Solana Trust (GSOL) added $10.42 million, and Fidelity Solana Fund (FSOL) contributed $2.51 million on the same day, helping to offset TSOL’s drag. Collectively, these funds manage 6.83 million Solana tokens worth about $964 million, per Solana Strategic Reserve metrics, representing a substantial stake in the network’s ecosystem.
The Solana ETF outflows prompt questions about short-term sentiment. While TSOL’s withdrawals may reflect profit-taking or reallocation after initial hype, the category’s overall inflows since launch—exceeding hundreds of millions—affirm long-term viability. Market observers, including those from SoSoValue, point to macroeconomic factors like interest rate expectations influencing such flows. In a year marked by ETF expansions, these developments offer insights into how traditional finance interfaces with blockchain innovations.
Frequently Asked Questions
Why Did the 21Shares Solana ETF Experience $34 Million in Withdrawals?
The 21Shares Solana ETF (TSOL) saw over $34 million in single-day outflows due to potential profit realization by early investors or shifts toward staking-focused alternatives like BSOL. This led to the fund’s first negative day, contributing to $8.1 million in net Solana ETF outflows overall, as reported by SoSoValue. Cumulative outflows now total $26 million, with net assets at $86 million.
What Is the Current Performance of Dogecoin ETFs After Launch?
Dogecoin ETFs, including the Grayscale Dogecoin Trust ETF (GDOG), have shown disappointing results post-launch with low trading volumes and declining inflows. The debut saw just $1.4 million in volume against expectations of $11 million, followed by net inflows dropping from $1.8 million to $365,000, per SoSoValue data—a clear sign of tempered enthusiasm for meme coin products in the ETF space.
Key Takeaways
- Solana ETF Resilience: Despite $8.1 million in net outflows led by TSOL’s $34 million withdrawal, other funds like BSOL gained $13.33 million, highlighting category strength.
- XRP’s Inflow Streak: XRP ETFs continue perfect daily inflows, totaling $643 million cumulatively, driven by leaders like Bitwise XRP with $7.4 million on Wednesday.
- Dogecoin ETF Caution: GDOG’s volumes fell 80% to $365,000 after a modest debut, advising investors to approach meme-based ETFs with realistic expectations for volatility.
Conclusion
The emergence of Solana ETF outflows, contrasted by robust XRP ETF inflows and subdued Dogecoin ETF performance, underscores the evolving preferences in crypto investment vehicles. As US spot ETFs mature, data from providers like SoSoValue reveals a market favoring utility-driven assets over pure speculation. Investors should monitor these trends closely, considering diversified exposure to navigate 2025’s opportunities—explore balanced strategies to capitalize on sustained growth in blockchain finance.
