#CanadaSOLETFLaunch

According to a private statement shared by Eric Balchunas, senior analyst at Bloomberg Intelligence, the Ontario Securities Commission has greenlit financial products to be issued by the asset management firms Purpose, Evolve, CI, and 3iQ.

A spot ETF is backed by the underlying asset and directly tracks the value of the asset it represents. This means that if the price of Solana rises by 5%, the financial instrument will reflect a similar increase, minus fees.

These financial products allow investors to gain exposure to the price of the asset without having to interact with it directly or take care of its custody.

The ETFs will offer staking features, which will allow investors to receive dividends, similar to some stocks. "The new Solana ETFs will engage in staking activities to earn rewards, which could provide higher returns than staking Ether (ETH) and reduce the overall maintenance costs of the ETF," the circular highlights.

The launch of these products could increase Solana's exposure among institutional investors and improve its liquidity, potentially generating an upward momentum, as long as demand exceeds supply. However, it is important to note that the market remains primarily focused on U.S. ETFs and is less concerned with ETFs from other parts of the world.