- Nasdaq files proposal to add staking to BlackRock’s Ethereum ETF, boosting institutional interest.
- SEC approval of Ethereum ETF staking could reshape the future of institutional crypto investment.
- Ethereum price surges to $3,432, driven by institutional interest and increased staking.
Nasdaq has submitted a proposal to the U.S. Securities and Exchange Commission (SEC) to make a change in its iShares Ethereum Trust (ETHA). The aim is to add the staking option, where the ETF will get the rewards by staking Ethereum.
The proposal is an indication of the increasing popularity of adding staking options to crypto exchange-traded funds (ETFs). Analysts believe that it may take until 2025 to approve this BlackRock-sponsored Ethereum ETF, possibly by the end of that year.
The filing aims to eliminate a provision that is not allowed within the ETF that does not allow the staking of the investment assets. Instead, Nasdaq would insert a new provision to permit staking.
In case of an approval, the ETF could receive staking fees and redistribute these profits to shareholders. The participation of BlackRock with the ETF also attests to a sign of institutional interest in Ethereum products and how it may change the mainstream financial system.
Nasdaq Leverages Staking Trend
The latest move comes in the wake of the SEC authorising the first staking ETF, the REX-Osprey Solana Staking ETF, and indicating a change of heart by the regulator regarding crypto-based financial products.
By adding staking to the BlackRock Ethereum ETF, Nasdaq will take advantage of this trend to offer institutional investors a rare chance to gain rewards through Ethereum staking.
Bloomberg analyst James Seyffart has opined on the time frame for clearance, projecting that the final decision could be ready by April 2026.
Nevertheless, Seyffart also indicates that the approval may be obtained earlier, potentially at the close of the final quarter of 2025. SEC may take its time to review the proposal, although the integration of staking in a conventional ETF is complex.
Also Read: Ethereum Eyes $10K as Institutional Giants Like BlackRock and Fidelity Join the Bull Run
Ethereum Price Surge
The BlackRock fund is at the forefront, as ETFs on Ethereum have experienced the largest inflows ever. Earlier on, there was a single-day inflow of Ethereum ETFs amounting to $726 million with BlackRock taking $499 million of the figure, according to SoSoValue. This added interest is due to the increasing use of Ethereum in institutions, resulting in a significant price increase.
The price of Ethereum has soared to $3,432, representing a 21.54% gain within the last 24 hours. Institutional buyers and corporate investors are the key drivers of the increase, buying large volumes of Ethereum to keep in reserves. Recently, Ethereum treasury companies have bought 540,000 ETH worth around $1.6 billion.
The total staked Ethereum was at its peak, and more than 36 million ETH was staked in July, as per Dune. This represents almost 29% of the total circulating supply.
With the growing popularity of Ethereum, the proposed staking reward by Nasdaq might establish a new precedence with crypto ETFs and further intertwine crypto assets with conventional finance.
Source: DUNE
Also Read: Bitcoin BlackRock ETF Investment Certificate Launched by UniCredit in Italy
