BlackRock introduces new Ethereum staking trust: the approval that could revolutionize the stock market

robot
Abstract generation in progress

The world’s leading asset management firm BlackRock has filed with the U.S. Securities and Exchange Commission (SEC) an application to launch the “iShares Staked Ethereum Trust ETF,” which, if approved, would operate under the ticker “ETHB.” This move marks a significant step in integrating cryptocurrency staking into traditional financial products.

How the Staking ETF Will Work

The mechanism of the new fund is designed to optimize the yields of staked Ethereum. According to official documentation, BlackRock would commit between 70% and 90% of the available ETH holdings under normal market conditions. The strategy includes maintaining a reserve of unstaked Ethereum, known as “Liquidity Sleeve,” to efficiently manage early redemption requests.

“The program aims to maximize assets available for staking while simultaneously controlling liquidity and redemption risks,” the regulatory filing specifies. This structure allows investors to participate in staking yields without sacrificing flexibility to access their funds.

Infrastructure and Custody

To ensure security, BlackRock has selected Coinbase Custody Trust Company as the primary custodian of Ethereum, with Anchorage Digital Bank designated as an alternative custody option. The trust’s cash management will be handled by BNY Mellon, creating a top-tier financial institution ecosystem.

BlackRock’s Position in Cryptocurrency ETFs

BlackRock already has a strong portfolio of exchange-traded funds in this segment. It offers the spot Bitcoin ETF (IBIT) and the spot Ethereum ETF (ETHA). With $11.15 billion in assets under management, ETHA is positioned as the largest ETH spot ETF in the market, with a significant advantage, according to CoinMarketCap data.

The launch of this new staking product reflects the financial giant’s confidence in the maturity of the Ethereum ecosystem and its potential to generate sustainable returns through staking, opening new opportunities for institutional investors.

ETH-4,55%
BTC-1,52%
View Original
This page may contain third-party content, which is provided for information purposes only (not representations/warranties) and should not be considered as an endorsement of its views by Gate, nor as financial or professional advice. See Disclaimer for details.
  • Reward
  • Comment
  • Repost
  • Share
Comment
0/400
No comments
  • Pin

Trade Crypto Anywhere Anytime
qrCode
Scan to download Gate App
Community
  • 简体中文
  • English
  • Tiếng Việt
  • 繁體中文
  • Español
  • Русский
  • Français (Afrique)
  • Português (Portugal)
  • Bahasa Indonesia
  • 日本語
  • بالعربية
  • Українська
  • Português (Brasil)