VanEck begins SOL staking with Kiln partnership

VanEck will now offer regulated access to solana staking rewards on top of the price of SOL

article-image

VanEck crypto research head Matthew Sigel | DAS 2022 New York

share


This is a segment from the Lightspeed newsletter. To read full editions, subscribe.


The crypto-friendly asset manager VanEck has partnered with Kiln to begin staking SOL, the pair told Lightspeed exclusively.

Kiln is an enterprise staking service that boasts integrations with outfits like Coinbase and Babylon

With the move, VanEck will now offer regulated access to solana staking rewards on top of the price of SOL. VanEck is one of a few firms offering regulated solana funds in Europe.  

2024 has been a bullish year for crypto, and the fresh market cycle was largely driven, at least initially, by the long-awaited approval of spot bitcoin ETFs in the US. The products — which give investors exposure to bitcoin’s price in a regulated wrapper — have already seen tens of billions-worth in inflows since getting the SEC’s approval in January. The ETFs trading partly drove bitcoin to a new all-time high this year, the only major crypto to set a new mark during this market cycle. 

Ether ETFs were also approved this year, though the second crypto to get a spot ETF had less inspiring flows. Still, altcoin ecosystems are hoping to catch some of the ETF magic, and firms are lining up behind what looks like a logical next crypto ETF in solana. 

VanEck and 21Shares both applied for spot SOL ETFs this summer, though talks have reportedly stalled over the SEC’s concerns that solana is a security. The filings have been cast as a bet on a Trump victory and a more crypto-friendly regulatory regime taking over sometime in 2025. 

For the moment, the major market for regulated solana products is in Europe. 21Shares’ solana staking ETP is currently the third-largest in Europe with over $1 billion in assets under management (AUM), according to etfbook.com. CoinShares and Valour also have solana ETPs with AUMs of around $300 million. 

VanEck’s European solana fund is more minor, with around $84 million in AUM. Adding staking rewards via kiln may be a play to grow that number. Notably, neither of the US solana spot ETF applications contained staking rewards after approved ether ETFs had staking stripped out. 

VanEck head of digital asset research Matthew Sigel told me he agrees staking rewards will become table stakes for solana ETPs in Europe. In the US, “tell me who wins the election” first, Sigel said in a direct message.


Get the news in your inbox. Explore Blockworks newsletters:

  • Blockworks Daily: The newsletter that helps thousands of investors understand crypto and the markets, by Byron Gilliam.
  • Empire: Start your morning with the top news and analysis to inform your day in crypto.
  • Forward Guidance: Reporting and analysis on the growing intersection of crypto and macroeconomics, policy and finance.
  • 0xResearch: Alpha directly in your inbox. Market highlights, data, degen trade ideas, governance updates, token performance and more.
  • Lightspeed: Built for Solana investors, developers and community members. The latest from one of crypto’s hottest networks.
  • The Drop: For crypto collectors and traders, covering apps, games, memes and more.
  • Supply Shock: Tracking Bitcoin’s rise from internet plaything worth less than a penny to global phenomenon disrupting money as we know it.
Tags

Upcoming Events

Industry City | Brooklyn, NY

TUES - THURS, JUNE 24 - 26, 2025

Permissionless IV serves as the definitive gathering for crypto’s technical founders, developers, and builders to come together and create the future.If you’re ready to shape the future of crypto, Permissionless IV is where it happens.

Old Billingsgate

Mon - Wed, October 13 - 15, 2025

Blockworks’ Digital Asset Summit (DAS) will feature conversations between the builders, allocators, and legislators who will shape the trajectory of the digital asset ecosystem in the US and abroad.

recent research

Research

article-image

With much of the bitcoin mining supply chain based in Asia, US-based operations now face higher equipment prices

article-image

Anticipating an economic downturn, venture firms may be less likely to invest

article-image

Trump’s tariffs may have potentially significant impacts on GDP, household spending and food prices — if they hold

article-image

The Binance-affiliated stablecoin lost about $200M of market capitalization

article-image

How the Bitcoin conversation has evolved since the price was less than $1

article-image

The platform also rolled out 13 tokenized funds for institutions on the Connect platform