The BlackRock’s iShares Staked Ethereum Trust ETF (ETHB) lets investors earn staking rewards alongside spot ETH exposure.
BlackRock’s iShares Staked Ethereum Trust ETF , the firm’s first crypto fund to incorporate staking, begins trading on Nasdaq on Thursday. ETHB will hold spot ether and stake a portion of its holdings, aiming to combine ether price exposure with staking rewards while offering the operational benefits of an ETF.
The fund, which charges a 0.25% sponsor fee with a temporary discount to 0.12% on the first $2.5 billion, targets a broad range of investors as BlackRock deepens its push into digital asset products. After the first wave of spot ether exchange-traded funds launched without staking, BlackRock’s iShares Staked Ethereum Trust ETF , one of the industry’s most anticipated versions, begins trading on Nasdaq on Thursday. The fund marks the asset manager’s third crypto ETF and the first from BlackRock to incorporate staking. ETHB will hold spot ether and stake a portion of those holdings on the Ethereum network, allowing investors to potentially earn rewards while benefiting from price movements. The new vehicle expands BlackRock’s existing digital asset lineup, which includes the iShares Bitcoin Trust and the iShares Ethereum Trust . Those funds have grown rapidly since their launches, with IBIT today managing more than $55 billion in assets and ETHA about $6.5 billion. “This is really about investor choice,” Jay Jacobs, BlackRock’s U.S. head of equity ETFs, told CoinDesk in an interview. "While ETHA has developed liquidity and a growing derivatives market, some investors are focused on maximizing total returns by combining ether price exposure with staking rewards, he added." Ethereum uses a proof-of-stake system that allows holders of its native token to lock up coins to help validate transactions and secure the network. In return, participants receive rewards, which many investors view as a yield-like feature of the asset. Until now, most ether ETFs have offered only price exposure without staking, although some asset managers, including Grayscale, have recently launched ETFs with staking capabilities. Jacobs said that gap may have discouraged some crypto-native investors from moving assets into exchange-traded funds. “Some investors who already hold ether directly were staking it and weren’t ready to move into an exchange-traded product because they would lose that feature,” he said. "By incorporating staking, the ETF allows investors to keep the benefits of staking while gaining the operational advantages of an ETF structure." Those advantages include institutional-grade custody, the ability to trade through traditional brokerage accounts and integration with standard portfolio allocations alongside stocks and bonds. The product may also appeal to certain institutional investors who prefer assets that generate income or cash flow. “For some institutions, when they evaluate an investment, they want to think about it from a cash flow perspective,” Jacobs said. Staking rewards may help make ether more comparable to other assets in portfolio models.BlackRock expects interest in the product to come from a wide range of investors, including individual traders, financial advisors and institutional allocators such as hedge funds and family offices. The fund carries a 0.25% sponsor fee, though BlackRock is waiving part of the cost for the first year, reducing it to 0.12% on the first $2.5 billion in assets. Jacobs said the temporary discount is intended to help the product gain traction in its early months. Despite the growth of crypto investment products, allocations to digital assets remain relatively small in traditional portfolios. Institutions are typically allocating in the “low single digits,” often around 1% to 2%, according to Jacobs. At those levels, he said, the risk contribution of bitcoin or other digital assets can be comparable to the exposure investors already accept from large technology stocks within diversified portfolios. BlackRock has rapidly become one of the largest players in crypto investment products. The firm oversees roughly $130 billion across crypto-related exchange-traded products, tokenized liquidity funds and stablecoin reserve management. According to the company, iShares captured about 95% of flows into digital asset ETPs in 2025. For now, Jacobs said the firm remains focused on expanding adoption of its existing crypto products, particularly bitcoin and ether, as many investors are still learning about the asset class. “We’re still in the early days of digital asset ETF adoption,” he said. “For many investors, this is the first step.”Binance's futures-to-spot trading volume ratio has climbed to about 5.1, its highest level since mid-2023.1 hour ago
United States Latest News, United States Headlines
Similar News:You can also read news stories similar to this one that we have collected from other news sources.
Most Equity Risk Factors Still Posting Gains for 2026Market Analysis by covering: SPDR® S&P 500® ETF Trust, iShares S&P 500 Growth ETF, iShares S&P Mid-Cap 400 Growth ETF, iShares MSCI USA Momentum Factor ETF. Read 's Market Analysis on Investing.com
Read more »
XRP ETF Performance Praised as 'Really Impressive' by BloombergBloomberg Senior ETF Analyst Eric Balchunas has lauded the "impressive" resilience of the recently launched XRP ETFs.
Read more »
Bitcoin ETFs add $251M as Goldman Sachs tops XRP ETF holdersThe most recent news about crypto industry at Cointelegraph. Latest news about bitcoin, ethereum, blockchain, mining, cryptocurrency prices and more
Read more »
STRC may help Strategy reach 1M Bitcoin milestone before BlackRockThe most recent news about crypto industry at Cointelegraph. Latest news about bitcoin, ethereum, blockchain, mining, cryptocurrency prices and more
Read more »
BlackRock CEO Larry Fink argues US-Iran conflict won't derail economy as gas prices surgeFox News Channel offers its audiences in-depth news reporting, along with opinion and analysis encompassing the principles of free people, free markets and diversity of thought, as an alternative to the left-of-center offerings of the news marketplace.
Read more »
BlackRock Debuts ETHB Today: A New Staked Ether ETF for Yield-Seeking Investors (Report)The financial vehicle will begin trading on Nasdaq today under the ticker ETHB.
Read more »