SEC Hits Pause on Grayscale’s Big Ethereum Staking Play

Last Updated on April 15, 2025

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Silver Ethereum coin on the background of the chart. Source: annebel146 - stock.adobe.com

Key Takeaways:

  • The SEC has delayed decisions on Grayscale’s Ethereum Trust and Mini Trust ETFs’ staking proposals until June 1, with a final deadline in October 2025.
  • The delay comes after the SEC recently approved options trading on Ether ETFs, highlighting growing regulatory focus on Ethereum-based products.
  • Grayscale and other firms like BlackRock are seeking to add staking to Ether ETFs to offer yield, with current Ether staking yields ranging from 2% to 7%.

The U.S. Securities and Exchange Commission (SEC) has delayed its decision on whether to allow Ether staking in two of Grayscale’s Ethereum exchange-traded funds (ETFs).

The affected funds are the Grayscale Ethereum Trust ETF and the Grayscale Ethereum Mini Trust ETF.

Originally submitted via a rule change proposal by the New York Stock Exchange (NYSE) in February, the request aims to permit staking features that let investors earn rewards by locking up their Ether to help secure the blockchain.

The SEC will now decide by June 1, with a final deadline set for October 2025.

This delay follows the SEC’s recent approval of options trading for Ether ETFs.

Staking could boost the appeal of Ether ETFs by providing an estimated annual yield of 2% to 7%, depending on the platform.

Since their launch in 2024, Ether ETFs have attracted approximately $2.28 billion in net inflows.

Grayscale isn’t alone in pursuing staking options—other asset managers, including BlackRock’s 21Shares iShares Ethereum Trust, have submitted similar applications and are also awaiting regulatory feedback.

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