Grayscale Investments said Monday it has become the first firm to offer spot cryptocurrency exchange-traded products with staking capabilities in the United States, introducing a structure that allows investors to earn yields through their existing brokerage accounts. The products, which cover Ethereum and Solana, mark a shift in how regulated funds handle proof-of-stake assets.
The firm’s Ethereum Trust ETFs and Solana Trust allow exposure to spot prices while generating staking returns through third-party custodians and validator networks. Grayscale CEO Peter Mintzberg described the launch as a “first mover innovation,” noting that the company manages $35 billion in digital assets. The products differ from traditional spot ETFs by capturing network rewards typically available only to direct token holders.
Staking rewards will accumulate within each fund’s net asset value rather than being distributed to shareholders. Grayscale said this approach preserves tax efficiency while supporting network security on Ethereum and Solana blockchains. The firm plans to stake passively, delegating assets to institutional validators.
The mechanics involve custodians such as Coinbase Custody and BitGo, which assign holdings to professional validators including Kiln and Figment.
Those validators process transactions and earn rewards that flow back into the fund. Because Ethereum requires a delay for withdrawals, issuers typically stake only part of their holdings to maintain liquidity for redemptions, which reduces effective yields to around 2%.
Grayscale’s Solana Trust requires regulatory approval for uplisting as an exchange-traded product. If cleared, it would join Ethereum-based funds as one of the first Solana spot ETPs with staking available to U.S. retail investors.
On-chain data show Ethereum’s staking participation has tightened the token’s supply. Network statistics indicate the staking queue surpassed unstaking in September, reflecting confidence among institutions and long-term holders. About 36 million Ether is now locked in staking contracts, removing roughly 30% of total supply from liquid circulation and potentially supporting price stability.
Smart contract activity and on-chain transactions have increased, reinforcing Ethereum’s function as infrastructure for decentralized finance and tokenized assets. Solana has attracted interest from institutional investors exploring options beyond Bitcoin, though regulatory clarity remains limited compared to Ethereum-based products.
A 2024 paper by David Krause, an associate professor at Marquette University, examined how staking could improve returns and network security within exchange-traded funds.
Krause emphasized the need for investor protection and transparency. His analysis described mechanisms such as passive validator participation and yield accrual within fund net asset values, features now incorporated into Grayscale’s products.
Market analysts estimate Ethereum’s current staking yield at approximately 3%. Combined with potential price gains, the yield could appeal to investors seeking income streams alongside growth. Analysts noted that Bitcoin ETFs provide only price exposure, while staking-enabled products offer a structural difference by generating returns from network participation.
Fund flows into staking-enabled ETPs will indicate whether yield-bearing structures can shift Ethereum and Solana from speculative holdings into income-generating assets for mainstream portfolios. The products could attract investors who prioritize diversified revenue streams, particularly if traditional bond yields remain competitive. Observers will track whether staking features influence allocation decisions or remain secondary to price exposure.
