Grayscale launches Solana Trust as SOL gains 10,000%

By: Ali Raza
Ali Raza
Ali plays a key role in the cryptocurrency news team. He loves travelling during his spare time and enjoys… read more.
on Dec 1, 2021
  • Grayscale has launched the Grayscale Solana Trust.
  • This trust will be available to individual and institutional investors.
  • The trust comes as SOL’s yearly gains surpass 10,000%.

Grayscale, the largest digital asset management firm, has announced that it is launching a product that will solely rely on and invest in Solana. The Grayscale Solana Trust will be the 16th investment product at the firm.

According to the press release, the Grayscale Solana Trust will be available to individual and institutional investors. Moreover, the product’s launch comes as SOL tokens report major gains this year.

Grayscale launches Solana Trust

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The new Grayscale Solana Trust will operate the same as the over single-asset investments trusts at the firm. Grayscale already has other trusts that offer investors exposure to cryptocurrencies such as Bitcoin, Basic Attention Token, Bitcoin Cash, Chainlink, Ethereum, Ethereum Classic, Decentraland and more.

The CEO of Grayscale, Michael Sonnenshein, commented on this addition stating,

We have had a front-row seat to the mainstream acceptance and adoption of crypto, and increasingly find that investors are diversifying their exposure beyond digital assets like Bitcoin and Ethereum.

Sonnenshein further noted that Grayscale would continue expanding its cryptocurrency products and offer investors the opportunity to venture into the digital economy. The Solana Trust comes with a minimum investment of $25,000 and an average annual fee of 2.5%.

Solana gains 10,000% in one year

Data from CoinGecko shows that Solana (SOL/USD) has gained by more than 10,000% during the past year. Currently, SOL ranks as the 5th largest cryptocurrency with a market capitalization o9f over $66 billion.

The Solana network is believed to be an “Ethereum killer” because it seeks to solve most of the issues present on the Ethereum network.

Solana uses a proof-of-history protocol that allows the network to offer high transaction speeds. Solana is believed to be the fastest blockchain network in the market. The network also charges low transaction fees of $0.01, which is a huge contrast from the extremely high fees on Ethereum.

Due to this scalability, Solana has received much adoption this year. Projects such as Power Ledger migrated from Ethereum to Solana at the beginning of the year. According to DeFi Llama, the total value locked on the Solana blockchain is over $14 billion, which is a notable growth from the $1.2 billion TVL in early August.

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