Two of the largest digital asset managers, Bitwise and 21Shares, have made a notable update to their Ethereum and Solana ETF filings, which could signal a change in how exchange-traded crypto products operate in the United States.
According to amended S-1 filings filed with the U.S. Securities and Exchange Commission (SEC), both issuers now refer to the possibility of staking Ethereum and Solana holdings within their funds.
If approved, this change would allow these ETFs to earn staking rewards, revenue generated by helping validate transactions on proof-of-stake blockchains. Until now, US-listed crypto ETFs have been limited to passively holding underlying assets, without the ability to participate in network consensus.
The amended documents, submitted this week, follow several months of quiet lobbying by ETF issuers seeking regulatory clarity regarding staking revenue. While the inclusion of this language does not mean the SEC has approved the feature, it does indicate that the agency is at least considering the idea.
Analysts see this as an early sign that the SEC’s stance on staking may be softening, particularly given growing pressure to allow ETFs to compete with on-chain yield opportunities available to retail and institutional investors overseas.
What investing in an ETF could mean for ETH and SOL returns
For Ethereum, current staking rewards range between 3% and 4%, while Solana’s rewards are typically between 7% and 8% per year. ETF management fees for these funds are typically between 0.20% and 0.30%, meaning that if the staking proceeds are distributed to holders, the return could cover or even exceed the fund’s fees.
Such a change could transform the way ETF issuers compete in the market. Instead of focusing solely on management costs and liquidity, future funds could also compete on net return, creating a new performance metric for investors comparing crypto ETFs.
While the SEC has yet to comment on these amendments, the filings suggest that staking may soon move from the on-chain economy to traditional financial products, bridging the gap between DeFi incentives and regulated investment vehicles.
