News 
April 14, 2025 
3 min. 
The U.S. Securities and Exchange Commission (SEC) has extended its review period for a proposed amendment that would enable staking in Grayscale’s Ethereum spot ETF.
NYSE Arca initially filed the proposal on February 14, 2025. It seeks to allow the ETFs to generate additional income by staking their Ethereum holdings. The SEC published the submission in the Federal Register for public comment on March 3, 2025.
SEC Extends Review Timeline for Grayscale’s Ethereum Spot ETF Amendment Proposal
On April 14, 2025, the SEC announced a formal extension of its review period for NYSE Arca’s proposed rule change. This amendment involves the Grayscale Ethereum Trust ETF and the Grayscale Ethereum Mini Trust ETF.
The extension follows Grayscale’s recent submission of a Form 19b-4 to the SEC for a separate Hedera ETF. Initially, the Commission had a 45-day window ending April 17, 2025. However, it has now extended the deadline to June 1, 2025.
In its notice, the SEC stated it finds a longer review period necessary. This extension ensures the Commission has sufficient time to evaluate the proposal and its implications. As of the filing date, the SEC had not received any public comments on the proposed change.
Notably, the extension reflects a standard procedural action. It gives the SEC additional time to examine the rule amendment in depth. Under Section 19(b)(2) of the Securities Exchange Act of 1934, the Commission can extend its review period from 45 to 90 days, provided it offers a public explanation.
Grayscale’s Entry Into Ethereum Staking Awaits SEC Decision
If approved, the proposal would mark a significant step for Ethereum-based ETFs. It would allow Grayscale’s funds to participate in Ethereum’s proof-of-stake (PoS) system.
In PoS, users lock ETH to support network security and validate transactions. In return, they earn rewards. For ETF investors, staking could offer an additional income stream beyond gains from Ethereum’s price appreciation.
Currently, the Grayscale Ethereum Trust ETF and Ethereum Mini Trust ETF hold Ethereum but do not earn staking rewards. The proposed rule change would alter this structure, allowing both funds to participate in staking.
The SEC must decide by June 1, 2025, whether to approve, reject, or further review the proposal. This timeline reflects the agency’s cautious approach toward digital asset integration within regulated financial products.
If approved, the rule change could set a precedent. Other Ethereum ETF issuers might pursue similar staking capabilities. Furthermore, the decision could signal how the SEC views regulated participation in PoS systems.
Grayscale has previously sought approval for a Litecoin ETF. In January, it also worked with the NYSE on a proposed XRP ETF.
