Grayscale has taken a historic step for the American market. The largest US crypto fund announced the launch of staking for its Ethereum and Solana-based products, becoming the first issuer in the country to offer investors the opportunity to earn passive income from staking directly through exchange-traded products.
The first step towards staking via ETP
According to the company, staking is now available for ETHE and ETH. These products are now officially considered the first spot funds on Ethereum in the US to offer staking income.
Grayscale also confirmed that GSOL has already activated staking support and is awaiting regulatory approval to convert into an ETP. After this, the fund could become one of the first spot products on Solana with staking functionality.
How does it work?
The company stated that the new feature will allow investors to benefit from the long-term growth of the Ethereum and Solana networks while maintaining the core investment focus of the funds.
‘Staking in our ETH and SOL funds is the kind of innovation Grayscale was created for,’ said the company CEO Peter Mintzberg.
‘As the world’s largest crypto ETF issuer by assets under management, we leverage the scale and reputation of the platform to turn new opportunities into real value for investors.’
Grayscale will use a network of institutional custodians and distributed validators to ensure the security and diversification of staking. Investors will be able to access these products through standard brokerage accounts.
Legal structure and differences
Both funds — ETHE and ETH — are registered under the Securities Act of 1933, not the Investment Company Act of 1940, which regulates classic mutual funds. This makes them structurally closer to spot Bitcoin and Ether ETFs than to traditional mutual funds.
Grayscale emphasized that the funds own digital assets directly, however, investments in them are not equivalent to direct ownership of cryptocurrencies.
Context: Awaiting SEC approval
The launch by Grayscale coincided with the anticipation of the SEC’s decision on the first spot Ethereum ETFs with staking in the US. Approval of such products could be a turning point for the market, opening the door for institutional capital to enter the yield crypto fund segment.
According to Markus Thielen, head of research at 10x Research,
‘The emergence of the first staking ETF on Ether could be a structural shift, opening a new era of institutional participation in the crypto market.’
Predecessors and comparison
Three months ago, the REX-Osprey ETF debuted on the Cboe BZX exchange, already registered under the 1940 Act. On the first day, it showed a trading volume of $33 million and inflows of $12 million. However, Grayscale’s decision covers two of the largest PoS networks at once and uses a different legal approach — registration under the 1933 Act, similar to spot Bitcoin ETFs.
Why it matters
According to the company, as of the end of September, Grayscale manages about $35 billion in assets. The launch of staking turns these products from simple investment tools into sources of passive income, which could radically change the appeal of crypto funds for both institutional and retail investors.
If the SEC approves further staking initiatives, the US crypto ETF market will enter a new phase, where investments in Ethereum and Solana will bring not only capital growth but also real income.
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