Grayscale has declared a distribution of staking rewards for its Ethereum staking exchange-traded fund (ETF), marking the first time a U.S.-listed spot cryptocurrency exchange product (ETP) has scheduled payments related to on-chain staking activity.
According to a press release issued on Monday, Grayscale Ethereum Trust ETF (ETHE) shareholders will receive approximately $0.08 per share from proceeds from the sale of staking rewards, with payments scheduled for Tuesday based on holdings recorded at Monday’s market close.
Grayscale began staking Ethereum products on October 6th, with staking conducted through institutional custodians and third-party validator providers. With this move, ETHE and the Grayscale Ethereum Mini Trust ETF (ETH) become the first US-listed spot crypto ETPs to gain exposure to Ether staking.
Staking is the process of locking up cryptocurrencies on a proof-of-stake blockchain to validate transactions and secure the network in exchange for regular rewards. In the case of Grayscale’s Ethereum Trust ETF, rewards are not paid in Ether (ETH) but are converted to cash and distributed to investors in dollars.
Grayscale’s funds operate outside of the Investment Company Act of 1940, the main statute governing U.S. ETFs (a structure that allows staking but has different regulatory protections than traditional U.S. ETFs).
Founded in 2013, Grayscale Investments is a digital asset management company that sponsors crypto investment products and claims to have approximately $31 billion in assets under management.
The ETF rose about 2% in early trading, according to data from Yahoo Finance.
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Promoting US Spot Ether ETF and staking
Grayscale is currently the only US-traded fund issuing payments related to staking Ether, although several Spot Ether ETFs from large asset managers are awaiting regulatory approval from the US Securities and Exchange Commission.
In March, Cboe BZX submitted proposed rule changes to U.S. regulators seeking approval to add staking to the Fidelity Ethereum Fund. The proposal, which would allow the fund to stake some or all of its Ether through third-party providers, followed a similar application filed in February for the 21Shares Core Ethereum ETF.
In November, BlackRock registered a staking Ethereum exchange-traded fund in Delaware, an early step toward launching a staking-enabled product alongside the existing Spot Ether ETF. The company’s iShares Ethereum Trust ETF (ETHA), launched in July 2024, currently does not include staking.
US Spot Ether ETFs began trading in July 2024, making 2025 the first full calendar year in which they were available to investors. During the year, the fund had inflows of $9.6 billion.
U.S. Spot Ether ETFs collectively manage about $18 billion in assets, according to CoinMarketCap data.
BlackRock’s iShares Ethereum Trust ETF (ETHA) has the largest market capitalization at approximately $11.1 billion, followed by Grayscale’s ETHE at approximately $4.1 billion and Grayscale Ethereum Mini Trust ETF at approximately $1.5 billion.
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