Grayscale Advocates SEC Approval for Ethereum ETF Staking, $61 Million at Stake

Grayscale Investments has met with the SEC’s Crypto Task Force to advocate for allowing Ethereum staking within its U.S.-based exchange-traded products (ETPs), specifically the Grayscale Ethereum Trust ETF (ETHE) and Mini Trust ETF (ETH). Grayscale claims that due to current SEC restrictions, U.S. Ethereum ETPs have missed out on approximately $61 million in potential staking rewards through February 2025, while similar products in Europe, Canada, and Hong Kong already permit staking. The company argues that enabling staking would not only provide additional financial returns for U.S. investors but also help maintain the competitiveness of American Ethereum investment products. Grayscale has proposed mechanisms such as a “point-and-click” staking model and liquidity solutions to address operational and redemption concerns. The SEC has postponed its decision on these proposals until June 1, 2025. Grayscale’s efforts reflect a broader push for regulatory parity with international markets and enhanced investor opportunities.