Company: OSOL
Filing Date: 2025-10-22
Form Type: S-1
Source: 0001493152-25-018952
Chunk: 9

Company: Osprey Solana Trust
Filing Date: 2025-10-22
Form: S-1
Chunk 9
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 time on each “Business Day”. The market price is determined based on the estimated fair market value price for SOL, reflecting the execution price of SOL on its principal market as determined by Lukka.

The Trust uses the Index Price to calculate its NAV, which is the aggregate value, expressed in U.S. dollars, of the Trust’s assets (other than U.S. dollars or other fiat currency), less the U.S. dollar value of the Trust’s expenses and other liabilities calculated in the manner set forth under “Business of the Trust—Valuation of SOL and Determination of NAV.” “NAV per Share” is calculated by dividing NAV by the number of Shares then outstanding. The methodology used to calculate the Index Price to value SOL in determining the NAV of the Trust may not be deemed consistent with GAAP.

Staking

The Trust Agreement provides that the Trust may engage in Staking at the Sponsor’s discretion. At the Sponsor’s direction, the SOL Custodian has delegated substantially all the Trust’s SOL to validator(s) on the Solana Network. Currently, all SOL staked by the Trust is delegated to GlobalStake, a non-custodial institutional staking platform, however, the Sponsor may direct the SOL Custodian to delegate the Trust’s SOL to one or more third-party validators (each a “Staking Provider”). As consideration for staking, the Trust receives network inflation and transaction fees, minus any fees paid to the Staking Provider, in the form of SOL (“Staking Rewards”) and are earned by the Trust as the Staking Provider with whom the Trust has staked its SOL validates transactions on the Solana Network. Staking Rewards are variable and, upon receipt, are paid to the Sponsor only.

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Under current Solana network protocols, staked SOL is subject to an “unbonding” that currently lasts approximately 0 to 2 days and, therefore, cannot be immediately withdrawn. The Trust has concluded that the Staking Provider is the principal to the validation activities giving rise to the staking rewards and, therefore, the Trust recognizes only the net amount (i.e., net of the staking rewards retained by the validator) of SOL to which it is entitled for staking its SOL with the Staking Provider. SOL staking rewards are measured at fair value on the date received, which does not materially differ from the fair value at contract inception. The SOL is concurrently recognized as an expense equal to the amount of revenue recorded and payable to the Sponsor. The liability is paid to the