Crypto Treasuries Are Fading—And Staking ETFs Will 'Eat Their Lunch'

SOL Strategies Interim CEO Michael Hubbard asserts that the market for digital asset treasuries (DATs) is unsustainable. He highlights that while these entities relied on investment exposure to digital assets, their allure is waning in favor of regulated products like staking ETFs. Hubbard believes that ETFs provide a more secure and transparent framework for investors and encompass lower expenses and known issuers compared to DATs, which often have complex balance sheets. The rise of staking ETFs is exemplified by the success of Bitwise's Solana Staking ETF, which has shown no outflows since its launch. SOL Strategies, positioned in the Solana network, has built a treasury of over $67 million in SOL and emphasizes the growth of the Solana ecosystem over mere token valuation. Hubbard aims to differentiate SOL Strategies from the DAT narrative, promoting it as a vehicle for capturing the complete value of the Solana economy, similar to how Berkshire Hathaway operates among traditional enterprises.

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