Grayscale’s $150M ETH Staking: Is This Crypto’s Next Big Thing or Just Another Trend?

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So, Grayscale’s at it again, but this time, they’re staking a massive $150 million worth of Ether. Yes, you read that right: $150 MILLION. 🤑 And no, it’s not a typo – it’s all part of their latest foray into the world of exchange-traded products (ETPs). And no, it’s not the regular kind of ETPs, this one has staking. How trendy!

In case you’re wondering how much that is in actual Ethereum, it’s a whopping 32,000 ETH, or about as much as my crypto portfolio would ever dream of being. According to Lookonchain, the blockchain data platform that’s probably trying to keep up with the madness of crypto, this transfer happened a whole day after Grayscale decided to throw staking into their Ether ETPs. That’s right, folks, they’re the first US-based crypto fund issuer to offer staking-based passive income for their funds. Oh, and don’t worry, they’ve made it all “official” with their fancy ETP Staking Policy. 🙄

Now, don’t go thinking it’s all sunshine and rainbows. Grayscale’s shareholders will only get up to 77% of the staking rewards after fees (sounds like they’re charging for the privilege of earning passive income), with the Ethereum Mini Trust being a little more generous at 94%. The rest? Well, it’s all going into the Grayscale black hole. 🤷‍♀️

And for those of you who don’t know, Grayscale’s Ethereum Trust ETF (ETHE) and the Ethereum Mini Trust ETF (ETH) are actually *not* ETFs in the traditional sense. They’re more like glorified ETPs (Exchange-Traded Products), registered under the Securities Act of 1933. Who knew? The fun never ends in crypto land, right? 🥴

Now, here’s the kicker: Grayscale’s latest move marks the launch of the first *staking* ETP in the US. And if you thought that was big, brace yourselves-two more Ether staking funds are waiting on a response from the SEC. It’s like waiting for your crush to text back. 🙄

SEC’s October Drama: Crypto Staking Funds Under Scrutiny

But wait, there’s more! October is shaping up to be a *super* exciting month for crypto (or at least for crypto nerds who live for regulatory drama). A total of 16 crypto ETPs are waiting for the SEC’s blessing, and among them are two staking funds: the 21Shares Core Ethereum ETF (TETH) staking filing and BlackRock’s iShares Ethereum Trust (ETHA) ETP amendment. Mark your calendars, folks-Oct. 23 and Oct. 30, respectively.

And while you’re at it, don’t forget the REX-Osprey Solana Staking ETF that was launched in July. Because, apparently, Solana’s a thing now too. 💅 It’s the first Solana staking ETF under the Investment Company Act of 1940, which lets crypto ETFs actually hold their spot assets directly. How… novel.

Meanwhile, Grayscale’s Solana fund, the GSOL Trust, is also dabbling in staking, waiting for the SEC to give the thumbs up. Because, you know, the SEC loves to keep us on the edge of our seats. 🤐

Oh, and did I mention that the government shutdown is threatening to delay everything? Because, sure, let’s throw a global crisis into the mix. With the SEC operating under “modified conditions” and a “limited number of staff,” who knows when we’ll see actual progress? The Senate, ever so helpful, has decided to reconvene on the funding bill later today. Good luck, y’all. 🙃

As if that wasn’t enough, the shutdown is driving up crypto fund investments. Apparently, uncertainty = more interest in decentralized assets. Who would’ve thought? 🚀

Crypto ETPs had their highest-ever inflows last week, recording a mind-boggling $5.95 billion worth of investments. The market’s basically saying, “Here, take my money,” and crypto’s just sitting there, waving goodbye like it’s on a yacht. 🛥️

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2025-10-07 17:30