Sec

The regulator indicated that it requires more time to evaluate the request submitted by Grayscale For your products based on Ehtereum, So it could receive verdict next July.

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• The decision was scheduled for April 17, but extended under the Values ​​exchange law of 1934.
• Staking would allow ETF to obtain rewards for participating in block processing in the network of Ethereum.
• Grayscale seeks to offer this functionality without mixing funds or compromising custody in Coinbase.
• The delay in the decision was expected, given the rigor with which the SEC examines proposals related to crypto.

The US stock and securities commission (sec) He has decided to postpone the verdict on the incorporation of staking mechanisms for ETFs Ethereum proposed by Grayscale.

The verdict is postponed

These financial products, called Grayscale Ethereum Trust and Grayscale Ethereum Mini Trust ETFwere presented on February 14, 2025 by NYSE ARCA. Together with the ETF approval application, a regulatory modification was proposed that would include staking as part of its investment strategy.

The initial deadline for resolution was April 17. However, under the authority granted by the 1934 securities exchange law, the Sec You can extend your review for up to 90 days. In this case, the agency has chosen to use that margin, postponing its failure until next July.

Staking is a fundamental characteristic of networks Blockchain that operate under the protocol Proof-of-stake (post), such as the one who uses Ethereum Since its transition in 2022. This allows validators to participate in the network and safety process of the network in exchange for rewards in Eth.

The proposal of Grayscale seeks that ETFs can benefit from these rewards Through a scheme in which the fund sponsor manages the staking without mixing investors’ funds. In addition, the custody of assets would remain in charge of Coinbase Custody, without altering the operations model already approved.

An expected delay

In regulatory terms, this would be the first time that an ETF in the cash of cryptocurrencies in the United States incorporates an active function such as staking. Until now, all approved products have been liabilities, reflecting only the price of the underlying asset.

As for the delay, this is not something that is out of the expected. The Sec He has shown an extremely prudent approach to innovations in cryptoactive financial products, so all products related to cryptocurrency have received the corresponding verdict for the last term, this after delays in the respective lapses.

Grayscale It is not the only firm that has submitted similar applications. Other asset managers have promoted proposals that combine direct exposure to crypto with functions such as staking. However, the agency has avoided approving these mechanisms, citing the need for greater clarity and protection of the investor.

In this context, the delay could be interpreted as a sign that the regulator still evaluates the risks associated with integrating active characteristics into traditionally passive structures such as ETFs.

Market expectations

The cryptocurrency ETF market has quickly evolved since the first ETF was approved Bitcoin When cash in January 2024. Now, institutional investors look for ways to obtain greater returns without leaving the regulated frame that offers a contribution quoted in the stock market.

Staking, in theory, would allow funds to generate additionally income safely. But for the Sec, This implies new questions about conflicts of interest, custody, operational security and transparency.

Recently, the Sec approved the commercialization of ETF options Ethereum In cash of several administrators, a measure that extends even more the framework for options for investors interested in these products.

Back to Staking Requests, if approved, ETFs Ethereum They could mark a milestone in the evolution of the financial products crypt in the US. Until then, the market must wait until July to know if the regulator gives green light to this new step.

Article written by a content editor. Edited by Angel Di Matteo / Diariobitcoin

Original image of Diariobitcoin, created with artificial intelligence, for free use, licensed under public domain.

WARNING: Diariobitcoin offers informative and educational content on various topics, including cryptocurrencies, AI, technology and regulations. We do not provide financial advice. Cryptactive investments are high risk and may not be adequate for all. Investigate, consult an expert and verify the applicable legislation before investing. I could lose all its capital.

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