The U.S. Securities and Exchange Commission (SEC) has formally acknowledged receipt of a Nasdaq-filed proposal that aims to allow staking within BlackRock’s spot Ethereum ETF, the iShares Ethereum Trust (ETHA).
As detailed in a revised Rule 19b‑4 filing, the proposed change would permit ETHA to stake some or all of its Ether—either directly or via approved staking providers—with staking rewards designated as fund income .
This move elevates BlackRock to join a growing contingent of fund issuers—such as Fidelity, Grayscale, 21Shares, and Franklin Templeton—seeking regulatory approval to enable staking for their Ethereum funds.
🔑 What It Means
- Boost in Yield Potential: Allowing staking could enhance fund returns by capturing Ethereum validation rewards, which are estimated at approximately 3% annually per ETH (sygnum.com).
- Regulatory Shift Underway: The SEC recently clarified that protocol staking itself isn’t considered a securities offering, signaling a regulatory environment that’s growing more receptive to staking-enabled products (sygnum.com).
- Timing & Precedence: BlackRock’s filing arrived later than similar requests from other issuers. Critics argue that the SEC should prioritize application order rather than issuing a collective ruling.
🧭 Why It Matters
- Investor Implications: Approval would allow ETHA investors access to a yield-bearing Ethereum investment vehicle—potentially making it more competitive than existing ETFs that currently hold non-staked Ether.
- Industry Impacts: A favorable outcome could pave the way for staking options across multiple spot Ethereum ETFs, transforming the U.S. ETF landscape for crypto.
- Market Outlook: Analysts expect that if positive, the SEC may issue a unified approval covering all such staking proposals as early as Q4 2025—well before BlackRock’s April 2026 deadline.
