Blockchain infrastructure provider Figment selected as staking provider for 3iQ’s newly approved Solana ETF

In a significant development for the digital asset landscape, blockchain infrastructure provider Figment has been chosen as the staking provider for 3iQ’s newly approved Solana exchange-traded fund (ETF). This move highlights Canada’s ongoing commitment to expanding the adoption of digital asset financial products. The 3iQ Solana (SOL) Staking ETF is set to launch on the Toronto Stock Exchange on April 16 under the ticker SOLQ. Figment's role includes facilitating institutional staking, emphasizing its position as a leader in staking infrastructure solutions, serving over 700 clients. The approval from the Ontario Securities Commission (OSC) on April 14 allows not only 3iQ to offer its SOL fund but also extends the same opportunity to other fund managers such as Purpose, Evolve, and CI. Bloomberg ETF analyst Eric Balchunas noted these funds can stake a portion of their SOL holdings through TD Bank, Canada's second-largest financial institution. 3iQ anticipates that its SOL fund will yield between 6% and 8%, appealing to investors looking for income-generating assets. The approval of this ETF marks a continuation of Canada’s leading position in the crypto ETF market, as the country previously let 3iQ launch the world’s first spot Bitcoin ETF in 2021, which quickly amassed $1 billion in assets. In contrast, U.S. regulators took almost three more years to approve spot Bitcoin ETFs, though they subsequently achieved significant success with $38 billion in net inflows. Furthermore, on the heels of this launch, 3iQ has also entered the Ether ETF space in October 2023, providing investors with staking rewards. This push illustrates a growing trend where Canadian regulators are more progressive in their approval processes compared to their U.S. counterparts. With speculations rising around potential approvals of staking rewards by U.S. regulators, it's clear that markets are eager for more diverse investment options in the digital space. This development not only bolsters institutional interest in cryptocurrencies but also reiterates Canada's forward-thinking stance on digital assets. As this analysis has shown, the introduction of the 3iQ Solana ETF is not just a win for Figment and 3iQ but a vital step towards wider acceptance of cryptocurrency investments.