SEC Puts Ether Staking on Hold—Because Why Make Things Easy? 🤡

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Well now, the mighty United States Securities and Exchange Commission, that grand old gatekeeper of financial dreams, has decided to take its sweet time. They’ve pushed back the call on whether to let folks stake their Ether in two Grayscale funds. Seems patience is the new currency.

The fate of the Grayscale Ethereum Trust ETF and its smaller kin, the Mini Trust ETF, now hangs in the balance until June 1, says the SEC’s April 14 proclamation. And if you’re holding your breath, don’t—October’s the final curtain.

Back on a chilly February 14, the New York Stock Exchange, playing matchmaker for Grayscale, tossed in a rule change proposal. The idea? Let investors lock up their Ether and watch it grow, or at least try to.

Staking, that curious act of tying up your cryptocurrency like a farmer tethering his mule, helps keep the blockchain running smooth and rewards the patient souls who do it. It’s the carrot dangled before investors, promising a little extra yield to sweeten the pot.

Now, if you’re wondering about the numbers, Coinbase whispers of a 2.4% annual yield on staked Ether, while Kraken, that wild stallion of exchanges, boasts anywhere from 2% to 7%. Meanwhile, the Ether ETFs have pulled in a tidy $2.28 billion since their debut in 2024, according to Sosovalue. Not too shabby for a slow dance.

The race to stake Ether ETFs isn’t a lonely one. BlackRock’s 21Shares iShares Ethereum Trust is also in the starting blocks, waiting for the SEC’s nod like a kid waiting for the school bell.

SEC Gives a Nod to Options on Spot Ether ETFs—Because Why Not?

Though the SEC drags its feet on staking, it’s not all slow motion. On April 9, it gave the green light to options trading on several spot Ether ETFs, including those from BlackRock, Bitwise, and Grayscale. Now investors can play the game of buy and sell contracts, with all the rights and none of the obligations. Fancy that.

This move broadens the playground for institutional investors, giving them more toys to fiddle with.

But let’s not kid ourselves—the Ether ETFs are still the wallflowers at the party compared to Bitcoin ETFs, which have raked in a whopping $35.4 billion since January 2024. Ether’s $2.2 billion inflow is respectable, but it’s like bringing a butter knife to a gunfight.

And poor Ether itself has had a rough go in this bull market, lagging behind flashy kids like XRP and Solana. Its 52-week high of $4,112 couldn’t even outshine the glory days of November 2021’s $4,866 peak. As of April 14, it’s sulking below $2,000. Better luck next time, champ.

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2025-04-14 21:50