BlackRock officially files for Staked Ethereum ETF, a historic move!

Source: TokocryptoBlog Original Title: BlackRock Officially Files for Staked Ethereum ETF, A Historic Move! Original Link: Asset management giant BlackRock is once again shaking up the crypto industry by filing for the iShares Staked Ethereum Trust ETF, the company’s first product in the United States that provides direct exposure to Ethereum staking for institutional investors.

This move comes after BlackRock’s Ethereum fund previously surpassed $11 billion in assets under management, marking increasing market interest in crypto strategies that not only rely on price but also generate rewards (yield) from staking.

In the initial prospectus dated December 5, BlackRock explained that this ETF will reflect ETH price performance while also collecting staking rewards from a portion of staked assets. The trust’s net asset value (NAV) will be boosted by these rewards, although the company warns of regulatory and operational risks that could affect performance.

Strengthened Multi-Custodian Structure

To ensure compliance and reduce risks, BlackRock has prepared a layered custodian model:

• Coinbase Custody will serve as the ETH asset custodian.
• BNY Mellon acts as cash custodian and administrator.
• Anchorage Digital Bank is appointed as an additional custodian.

BlackRock Fund Advisors will serve as trustee, while iShares Delaware Trust Sponsor LLC acts as sponsor.

This structure demonstrates BlackRock’s effort to position the product as a secure, standardized institutional infrastructure.

Does Not Operate Its Own Validator, Relies on Third-Party Staking Providers

Instead of running validator nodes themselves, BlackRock will partner with approved third-party staking providers. Staking allocation will be determined based on provider performance, reputation, and reliability.

Rewards and slashing risk are key factors mentioned in the document.

The ETF is planned to be listed on NASDAQ under the ticker “ETHB,” and will issue and redeem units in blocks of 40,000 shares.

Institutional Demand Begins Shifting Towards Yield-Based Crypto Products

The filing of this staked ETH ETF signifies a major strategic shift among institutional investors. They are no longer satisfied with crypto products that only offer price exposure but are starting to seek tokenized instruments that generate operational income.

If approved by regulators, this ETF could influence how staking rewards are classified legally, an issue still under discussion in the United States.

With this move, BlackRock appears ambitious to lead a new phase of digital asset adoption.

BlackRock Bitcoin ETF Records Worst Outflow: $2.7 Billion Out

Amid this new innovation, BlackRock’s Bitcoin fund performance tells a different story. The iShares Bitcoin Trust has seen five consecutive weeks of withdrawals, totaling over $2.7 billion as of November 28.

Withdrawals continued on Thursday with an additional $113 million out, placing this ETF on track for a record six-week outflow, despite Bitcoin’s relatively stable price.

This phenomenon reflects a shift in investor sentiment from Bitcoin to yield-generating crypto instruments, such as Ethereum staking.