Bitwise Solana ETF Attracts $267M Despite Heavy SOL Mark-to-Market Losses

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Bitwise Solana ETF Attracts $267M Despite Heavy SOL Mark-to-Market...

Srebrin Petrov
9 August, 2026, 23:00
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Bitwise Solana ETF Sees $267M in Net Creations but Ends Lower on Mark-to-Market Losses

The Bitwise Solana Staking ETF recorded substantial net share creations in the first half of 2026, yet finished the period with lower total net assets due to significant mark-to-market losses on its Solana holdings. The fund’s August 7 quarterly filing reveals the tension between rising investor demand for shares and the impact of SOL’s price decline.

Share Creations Versus Portfolio Losses

Authorized participants drove a net $267.1 million increase in the fund through share transactions during the six-month period. Despite this inflow of capital, BSOL ended June with $592.3 million in net assets — approximately $49 million lower than at the end of December.

The shortfall is explained by a $316.0 million decline from operations. Unrealized depreciation on the fund’s Solana holdings accounted for $262.9 million of that figure, while realized losses added another $70.9 million. Net investment income provided a partial offset of $17.7 million, which included $19.2 million in staking rewards before expenses.

In short, the operational losses exceeded the net capital raised through share creations, leaving the fund smaller in total assets even as demand for its shares increased.

Rising Share Count, Falling NAV

BSOL’s share count rose from 39.18 million to 59.20 million over the period. The fund issued 28.03 million shares and redeemed 8.01 million, confirming meaningful net creation activity. No share splits or similar adjustments were disclosed.

Bitwise Solana Staking ETF Tops $20M Weekly Inflows as SOL Demand Returns

Net asset value per share, however, fell sharply from $16.37 to $10.01. The decline illustrates that an expanding share base could not protect individual shareholders from the drop in the underlying SOL portfolio.

Comparison With Invesco Galaxy Solana ETF

A contrasting example appears in the Invesco Galaxy Solana ETF. That fund also saw strong net share growth, with shares rising from 180,000 to 675,000 after 535,000 creations and only 40,000 redemptions. Its NAV per share similarly declined 39.2%, from $12.45 to $7.57.

Unlike BSOL, however, the Invesco product finished with higher total net assets. Its $4.4 million net capital increase exceeded a $1.5 million operational loss and modest distributions, allowing the fund to grow from $2.2 million to $5.1 million in assets.

The comparison underscores a simple mechanism: net share capital can expand a fund’s total size when it outpaces portfolio losses, but it cannot prevent NAV per share from falling during a sustained decline in the underlying asset.

Broader Context

The Bitwise Solana ETF’s experience reflects the dual reality facing Solana products in the first half of 2026. Investor interest in regulated exposure remained strong enough to generate hundreds of millions in net creations, yet the price performance of SOL itself produced mark-to-market losses large enough to outweigh those inflows.

The filing does not identify the beneficial owners behind the creations and redemptions, leaving open the question of whether the demand came primarily from institutions or other holder categories. What is clear is that rising share count alone was insufficient to offset the impact of Solana’s drawdown on the fund’s overall asset base and per-share value.