REX Financial CEO Greg King Advocates for Solana as Stablecoin Future
Greg King, CEO of REX Financial, discussed Solana's potential in real-world finance and stablecoin settlement on Bloomberg’s “ETF IQ.” He emphasized the need for a staking-enabled ETF around SOL instead of waiting for traditional products.
Solana vs. Ethereum
- King highlighted that Ethereum is the second-largest cryptocurrency while Solana ranks in the top five.
- He suggested that Solana could overtake Ethereum due to its higher processing speed and efficiency for payments and consumer apps.
- King noted that many stablecoins are currently built on Ethereum, which he considers a significant oversight.
REX’s product, SSK, stakes SOL and offers monthly distributions, positioning staking as an income stream linked to network security rather than mining. Current annualized staking rewards range from 6% to 8%, with SSK providing approximately 5% yearly distribution to investors.
Solana ETF Spotlight
- King advocated for the ’40 Act investment company structure over the traditional ’33 Act spot ETPs, citing better investor safeguards.
- The fund holds SOL directly and via other instruments, focusing on staking and liquidity optimization.
- While costs are higher than standard equity ETFs, the firm emphasizes yield and volatility trade-offs.
- King anticipates a surge in product offerings across US exchanges but stresses the importance of quality control amid a crowded market.
- He views Solana as a strong contender due to its size, perceived underdog status against Ethereum, and attractive staking rewards.
SOL traded at $188 at press time.
