A bold new chapter is opening in crypto investing. VanEck, one of the world’s top asset managers, has filed with the U.S. Securities and Exchange Commission (SEC) to launch the first-ever JitoSOL ETF. If approved, this could reshape how Nigerians and global investors earn yields on Solana while keeping their funds liquid.
Key Takeaways
- JitoSOL ETF is different: it tracks a liquid staking token (JitoSOL), not just SOL.
- Nigerians could benefit: it makes Solana staking yields accessible through normal brokers, without managing wallets or validators.
- SEC clarity is growing: regulators recently said certain staking activities don’t count as securities.
- Risks remain: validator slashing, market swings, and regulatory shifts can still affect returns.
- Big picture: this ETF could unlock new fintech products for Africa, including payroll and savings solutions.
What Is JitoSOL and Why Does It Matter?
JitoSOL is a liquid staking token on the Solana blockchain. When users stake SOL through Jito, they receive JitoSOL, which accrues staking rewards and MEV (Maximal Extractable Value) yields. Unlike traditional staking, JitoSOL remains liquid, allowing users to use it in DeFi protocols while still earning rewards. Most crypto ETFs today work in a simple way — they buy Bitcoin or Ethereum and hold it. The JitoSOL ETF is different. Instead of holding regular SOL, it uses JitoSOL, a liquid staking token (LST) on the Solana blockchain.
When you stake SOL directly, your tokens are locked and you can’t trade them until the staking period ends. JitoSOL changes that. It allows investors to:
- Earn staking rewards while keeping their tokens liquid
- Use JitoSOL in DeFi apps and still get yield
- Trade or sell anytime without losing rewards
This balance of liquidity + yield is why VanEck believes JitoSOL is the perfect fit for an ETF. Instead of choosing between earning staking income and staying flexible, investors can have both.
Why the VanEck JitoSOL ETF Matters
- Mainstream Access: Brings Solana’s DeFi yields to global investors via a regulated ETF.
- Transparency: Offers a clear, compliant framework for holding JitoSOL.
- Boost for Solana: Puts Solana’s DeFi ecosystem on the global stage.
The SEC’s New Direction
Crypto ETFs have struggled in the past because regulators treated staking as a securities issue. But things are shifting. Under Chairman Paul S. Atkins, sworn in April 2025, the SEC has been more open to clear crypto rules.
Two key updates changed the game:
- May 2025: The SEC clarified that certain proof-of-stake activities do not count as securities transactions.
- August 2025: A follow-up statement explained that some liquid staking structures may also not be securities — as long as they’re designed carefully.
This regulatory clarity gave VanEck and Jito Labs the green light. Jito’s team, led by CEO Lucas Bruder and CLO Rebecca Rettig, spent months explaining their model to the SEC’s Crypto Task Force. Their success could set a precedent not just in the U.S., but also in Asia and eventually in Africa.
Why Nigerian Investors Should Pay Attention
Nigeria is Africa’s largest crypto market, and many Nigerians are already using blockchain for remittances, trading, and savings. But staking SOL directly can be intimidating. People worry about validator slashing, wallet security, and managing private keys.
The JitoSOL ETF could solve these problems by offering:
- Simple access: Buy through global brokers instead of setting up wallets.
- Yield + liquidity: Earn staking rewards without losing the ability to sell quickly.
- Compliance: ETFs come with audited custody and disclosures, making them easier for accountants, boards, and fintechs to work with.
For Nigerian fintech startups, this ETF opens new doors. Imagine payroll systems that pay salaries in yield-bearing tokens or treasury solutions that keep funds productive while still liquid. These kinds of products are now easier to build within a regulated framework.
Solana’s Growing Momentum
It’s no coincidence that VanEck is betting on Solana. Confidence in the network has surged over the past year. According to Messari, Solana’s app revenues jumped 213% in one quarter, reaching $840 million, while its DeFi total value locked (TVL) climbed to $8.6 billion — putting it ahead of Tron and second only to Ethereum.
VanEck now predicts SOL could reach $520 by the end of 2025 and expects Solana’s share of the DeFi market to rise to 22%. For a chain once doubted, Solana’s consistent performance has turned skepticism into renewed belief.
Risks Nigerians Should Watch
Of course, no crypto product is risk-free. Here are the main concerns:
- Validator risks: Bad behavior or slashing can reduce staking rewards.
- Smart contract bugs: JitoSOL runs on DeFi code, which always carries some risk.
- Tracking variance: JitoSOL may not perfectly track SOL prices due to liquidity and spreads.
- Regulatory shifts: SEC statements are guidance, not permanent law. Future leadership could change course.
- Market swings: Yield doesn’t protect from crypto’s famous volatility.
How This Could Help African Startups
Beyond Nigeria, African fintech startups can also benefit. Using the JitoSOL ETF, they could build:
- Payroll systems: Employees get paid in yield-bearing assets that remain liquid.
- Treasury management: Companies can park idle funds in ETFs that generate staking rewards.
- Cross-border finance: Remittance providers can keep funds productive during transfer delays.
This ETF is more than just another product — it’s a bridge between traditional finance and Solana’s DeFi world.
What Comes Next
At least nine Solana ETF applications are sitting with the SEC. VanEck’s spot Solana ETF (ticker: VSOL) has already appeared on the Depository Trust & Clearing Corporation (DTCC) list, and REX-Osprey’s Solana staking ETF recently partnered with JitoSOL. The competition is heating up.
With the SEC now allowing in-kind creations and redemptions for crypto ETFs, the market is maturing fast. Approval of VanEck’s JitoSOL ETF could be remembered as the day staking truly became mainstream.
FAQs
- Is JitoSOL a security? The SEC says some staking activities aren’t securities, but outcomes depend on structure. The ETF will be judged on its design and disclosures.
- How is this different from a spot SOL ETF? A spot ETF tracks SOL directly, while a JitoSOL ETF tracks liquid staked SOL that earns rewards.
- Can Nigerians buy it? Access will depend on brokers and local rules, but many Nigerians already use global platforms to buy U.S. ETFs.
- What are the risks? Slashing, smart contract bugs, and market volatility are still real risks.
- When will it launch? Timing depends on SEC approval, which could take months.
The Bottom Line
The VanEck JitoSOL ETF could be a game-changer for Nigerians who want crypto yields without the hassle of staking directly. It blends traditional finance with Solana’s DeFi innovation, offering regulated access to liquid staking rewards.
For investors, startups, and fintechs across Nigeria and Africa, this may be the first step toward easier, safer, and more compliant ways to earn yield in crypto.
Further Reading on Emostically
- The Jupiverse: DeFi innovation on Solana
- Solana Nigeria: resilience in a rough market
- Ethereum, Solana & Chainlink utility in a fear market
- Stablecoins & Solana settlement
Written by Franklin Owums
An enthusiastic crypto educator at Emostically, passionate about making blockchain and digital assets understandable for everyone — from beginners to seasoned explorers..
Disclaimer: This article is for educational purposes only and not financial advice. Always do your own research.
