The SEC extends the deadline for a decision regarding the Grayscale proposal, which aims to enable ETH staking in the Grayscale Ethereum Trust and Grayscale Ethereum Mini Trust ETFs. The original deadline, set for April 17, 2025, has been extended to July 2025. This decision was made in accordance with U.S. regulations that allow for an extension of the review period by up to 90 days.
The innovative proposal involves the introduction of a staking mechanism that will allow ETF sponsors to earn rewards by participating in the Ethereum proof-of-stake consensus mechanism. As part of the solution, ETH assets will be secured by Coinbase Custody, and staking will be carried out exclusively by the sponsor, without mixing fund assets.
So far, no American spot ETF for cryptocurrencies has utilized a staking mechanism, making the current proposal groundbreaking but also risky from the perspective of regulatory authorities.