REX-Osprey has revamped its Solana exchange-traded fund (ETF) to boost investor appeal, with the changes taking effect on September 1. The overhaul aims to improve tax efficiency for holders.

The SSK Solana + Staking ETF has converted from a C-Corporation structure to a Regulated Investment Company (RIC). This new archetype eliminates the fund-level taxes and directly distributes earnings to shareholders.

The move is significant in streamlining taxation, reducing costs for investors, and consolidating the ETF’s position in a market that is becoming increasingly competitive for crypto ETFs.

REX-Osprey ends double taxation with RIC shift

The past iteration of the SOL ETF was a C-Corporation (C-Corp). Under that structure, the fund was required to pay federal and state taxes on any income, including stakeholder gains. After paying those taxes, the remainder is distributed to shareholders. In return, investors were required to pay their own taxes on those distributions.

This led to double taxation, a major disadvantage relative to most traditional ETFs in the United States. This second layer of taxation gradually eroded overall returns and made the fund decidedly less competitive.

REX-Osprey has lifted this onus by moving to an RIC structure. The fund itself no longer pays any taxes. Rather, any taxable earnings or capital gains are rolled through to investors. Each investor subsequently bears tax at their own marginal rate.

This arrangement is common to most United States ETFs, whether stock or bond funds. It’s a leveling of the field for the Solana ETF, one in accordance with the industry’s standards.

Greg King, the founder and chief executive of REX Financial, described the change as a definite upgrade for investors. He explained that it simplifies the tax situation and allows shareholders to keep more returns.

King noted that SSK provides direct exposure to Solana’s spot price while also earning staking rewards, a combination not offered by any other U.S.-listed ETF. He added that investors can track Solana’s performance while benefiting from the additional yield generated through staking.

Market commentators agree that eliminating tax inefficiencies will likely make crypto ETFs much more attractive for retail and institutional traders–the Solana Opportunity. Solana, which has staking yield as a significant factor for investors, could be the game-changer needed to start bringing in more inflow for the layer1 protocol.

RIC shift puts REX-Osprey ahead as Solana ETF race heats up

Part of that is simply the timing of the switch. U.S. regulators are considering several applications for Solana spot ETFs, with numerous issuers filing amendments recently. Analysts say such filings indicate approval may be near.

By removing “tax drag,” REX-Osprey’s Solana ETF is better positioned to compete when other Solana ETFs start coming to market. Cheaper costs and more straightforward taxation could appeal to more retail and institutional investors.

The SSK ETF is still the only U.S.-listed product tying together spot Solana with staking rewards. This sets it apart from other potential ETFs, which are thought to track only the token’s price. There has been significant investor appetite for exposure to Solana since clicking ‘Launch’ on SSK on July 2, 2025. The fund took 12 trading days to reach $100 million in assets under management (AUM), marking one of the fastest starts for a crypto ETF.

According to REX data, AUM had climbed to $212 million by late August. That growth also indicates the investor appetite for Solana and optimism about more ETFs potentially being approved.

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