Grayscale has taken a significant step toward expanding its Ethereum-based exchange-traded funds (ETFs) and held an official meeting with the U.S. Securities and Exchange Commission’s (SEC) Cryptocurrency Task Force.
Grayscale Seeks SEC Approval to Enable Staking for Ethereum ETFs
During the meeting, Grayscale filed to amend its Form 19b-4 filings for the Grayscale Ethereum Trust ETF (ETHE) and Grayscale Ethereum Mini Trust ETF (ETH).
The proposed changes would allow two funds to participate in staking activities and, if approved, would be a first for U.S.-listed Ethereum ETFs.
Staking allows Ethereum (ETH) holders to earn rewards by locking up their tokens to support blockchain operations such as transaction validation and network security. Enabling Staking in ETFs could provide investors with additional returns beyond simple price appreciation.
Grayscale’s move comes amid growing interest from institutional investors in not just holding digital assets but actively participating in blockchain ecosystems.
However, staking-related activities within public funds remain a sensitive topic for US regulators, who have previously scrutinized staking programs offered by centralized crypto platforms.
Approval of Grayscale’s changes would mark a significant shift in how crypto investment vehicles are structured in the U.S., blending traditional financial products with decentralized finance (DeFi) mechanisms.
The SEC has not yet publicly commented on Grayscale's proposal.
*This is not investment advice.
