Crypto Journalist
Anas Hassan
Crypto Journalist
Anas Hassan
Share
Grayscale has launched the first US-listed spot crypto ETFs that allow staking for their Ethereum products, the Ethereum Mini Trust ETF ($ETH), the Ethereum Trust ETF ($ETHE), and the Solana Trust ($GSOL), pending final regulatory approval.
As the largest digital asset investment platform with approximately $35 billion in assets under management (AUM), Grayscale believes its established ETH and SOL products are well-positioned to transform opportunities, such as staking, into real value for investors.
According to an October 6 press release, the company stated that enabling staking for its Ethereum and Solana funds gives investors exposure to the long-term value growth of these networks while keeping the funds’ core investment objectives intact.
Grayscale First US-Listed Spot Crypto ETFs Turn Staking Into Real Investor Value
ETHE and ETH will continue to provide spot Ether exposure, while GSOL offers spot Solana exposure.
Grayscale CEO Peter Mintzberg said, “Staking in our spot Ethereum and Solana funds is exactly the kind of first-mover innovation Grayscale was built to deliver.”
Through institutional custodians and a network of validator providers, Grayscale plans to stake passively, strengthening the underlying blockchain protocols and supporting their long-term resilience.
Earlier this year, the New York Stock Exchange (NYSE) filed a proposal with the US Securities and Exchange Commission (SEC) on behalf of Grayscale to allow staking in its spot Ethereum ETFs.
While some industry observers believed it could take time before the SEC would consider staking for crypto ETPs, discussions involving Solana-based Jito and Multicoin Capital suggested that regulators were already reassessing staking for Ethereum and potentially other crypto ETPs
Today’s development adds to the SEC’s growing openness to allowing investors access to more advanced crypto products under regulated structures.
Beyond staking, Grayscale recently launched the Grayscale Ethereum Covered Call ETF (ETCO), an actively managed fund designed to generate income from ETH-linked instruments through option premiums.
According to Grayscale’s fund page, ETCO targets biweekly payouts, similar to its Bitcoin covered-call product.
In September, the SEC also approved Grayscale’s Digital Large Cap Fund (GDLC), the first-ever multi-crypto ETP in the U.S. market.
GDLC provides diversified exposure to five leading cryptocurrencies, including Bitcoin, Ether, XRP, Solana, and Cardano.
Beyond Bitcoin, Ethereum, and Solana, Grayscale has also filed S-1 registration statements with the SEC for spot Polkadot and Cardano ETFs.
Both trusts were incorporated as Delaware Statutory Trusts on August 12, following Grayscale’s usual filing pattern.
Grayscale is further pursuing a Dogecoin ETF, revealed under the ticker GDOG in its latest SEC filing.
$5.95 Billion Inflows Signal Soaring Interest in U.S. Spot Crypto ETFs
Over the past year, the SEC’s stance toward crypto ETFs has become more receptive.
In July, the regulator approved in-kind creation and redemption mechanisms for crypto ETFs and granted clearance for spot Bitcoin and Ethereum ETFs, as well as options trading on certain spot Bitcoin ETPs.
Now, the approval of staking features for ETH and SOL marks another milestone in that progression.
The shift follows Grayscale’s landmark court victory during the Biden administration, which paved the way for spot Bitcoin ETFs in January 2024 and spot Ether ETFs later that year.
The U.S. market for spot Bitcoin and Ether ETFs is now thriving.
ETF analyst Eric Balchunas recently reported record inflows of $5.95 billion in digital asset investment products last week, the highest weekly total to date.
Bitcoin led with $3.55 billion, followed by Ethereum at $1.48 billion. Solana saw $707 million, while XRP attracted $219 million.
These record inflows coincided with Bitcoin hitting a new all-time high of $125,708 and Ether nearing its November 2021 peak above $4,500.
Credit: Source link
