VanEck Partners with Kiln to Offer Regulated Access to Solana Staking in Europe
VanEck, a recognized asset manager in the crypto space, has teamed up with Kiln, a business-focused staking provider, to offer regulated access to Solana (SOL) staking in Europe. Kiln is a trusted player in the field, with partnerships with major platforms such as Coinbase and Babylon, bolstering investor confidence in this offering.
The goal of this partnership is clear: to allow SOL holders to access staking rewards while complying with European regulations. For VanEck investors, this option represents a way to maximize their returns without stepping outside the legal framework.
We are thrilled to partner with VanEck to develop their Solana staking strategy for businesses.Kiln
Matthew Sigel, VanEck’s Director of Digital Asset Research, believes that staking rewards will soon become a standard feature for Solana-related financial products in Europe.
A Year Marked by Regulated Crypto Funds in 2024
The crypto market is experiencing positive momentum in 2024, largely driven by the approval of the first Bitcoin Spot ETFs in the United States earlier this year. These financial products, which offer direct exposure to the price of Bitcoin, attracted billions of dollars from the moment they launched, propelling Bitcoin to new all-time highs. However, this ETF frenzy did not have the same impact for other cryptocurrencies. The Ethereum ETFs, although also approved this year, generated less enthusiasm, indicating investors’ preference for the sector’s more robust assets.
For altcoin investors, including Solana, the excitement around ETFs still represents an opportunity. Several players anticipate that a Solana Spot ETF could be the next major crypto investment product, provided that US regulators relax their stance. In Europe, where regulations differ, the Solana financial products market is rapidly growing, supported by solutions offered by VanEck and 21Shares.
The Challenges of US Regulation and the Outlook for 2025
In the United States, the launch of Solana funds faces obstacles from the Securities and Exchange Commission, which considers Solana a potential security, thus hindering ETF projects in the country. Therefore, VanEck and 21Shares’ initiatives to launch Solana ETFs in the US are currently on hold.
Some industry observers believe that the unlocking of this situation will depend on the outcome of the 2024 presidential elections. A victory for a cryptocurrency-friendly candidate, such as Donald Trump, could potentially pave the way for more crypto-friendly regulations in 2025.
The European Dynamic and VanEck’s Ambitions
Meanwhile, it is in Europe that Solana financial products are thriving. The market is led by 21Shares’ Solana staking product, ranking third in terms of assets under management with over a billion dollars. Other companies like CoinShares and Valour, with assets under management of around $300 million, are also making their presence felt. VanEck aims to expand its European offering, currently more modest with $84 million in assets under management. The addition of staking rewards through Kiln could help enhance the appeal of this fund and increase its market share.
