VanEck Europe Enables Staking of its $73M Solana ETN

VanEck introduced the staking of its Solana Exchange Traded note (ETN) for Europe. The ETN currently manages assets totaling over $73 million.

Investors can now benefit from daily reinvestment of staking rewards, as the Solana ETN trades with ticker VSOL.

This is a non-custodial staking model

Mathew Seigel, VanEck’s Director of Digital Asset Research, made the announcement on October 21. post On X. He said that the reward will be included as part of the End of Day Net Asset Value of the ETN. This ensures daily liquidity for investors.

A companion document The staking for Solana ETN has been revealed to be non-custodial. The owner of the asset retains full control over all staked SOL Tokens.

By avoiding lending practices associated with the traditional method of staking, this strategy helps to minimize risk.

The marketing material of the company states that investors do not need to perform any staking, as any rewards earned will be automatically added to the token equity.

Investors who have owned the ETN for longer periods of time will be rewarded equally. VanEck, however, will subtract a 25% stake fee before distributing the rewards.

What is the Solana ETN Staking System?

The stake process starts with the ETN transferring tokens of Solana. The validator, which is maintained by an external stake provider, earns block rewards and inflationary rewards. The custodian retains control over the SOL delegated, but the assets never leave cold storage.

The rewards will be reinvested daily in the ETN, and the performance of the ETN is reflected. VanEck states that it will adjust its stake activity based on current market and network conditions to make sure it is fully liquid.

The asset manager is still committed to the client. launching Solana ETFs are available in the U.S., despite regulatory issues. Siegel previously asserted The company’s exchange partner will advocate its position to regulators.