The proposal would add a new “staking” section authorizing the stake some or all ETHA’s Ethereum directly or through one or more trusted staking providers, with any staking rewards payable to the ETF and potentially treated as income.
The regulator statement includes self‑staking, delegated staking, custodial staking, and non‑custodial staking. Additionally, service features such as early withdrawals, slashing protection, or asset aggregation do not convert staking into a securities offering under federal law by themselves.
Nasdaq argues that permitting ETHA to stake would better align the product with Ether‑holding returns, improve creation and redemption efficiency, and benefit end investors.
The filing also describes staking’s role in supporting Ethereum’s validation process and compensating validators via block rewards.
After publication in the Federal Register, the Commission has 45 days, extendable up to 90 days, to approve, disapprove, or institute proceedings on the proposal.
The SEC has also invited public comments on the matter.
