BlackRock Takes Next Step Toward Staked ETH ETF with Delaware Trust Formation
BlackRock has established a new Delaware statutory trust named the iShares Staked ETH Trust, taking an ahead step toward launching a staking-enabled ETH platform-traded fund. The trust was registered under the Securities Act of 1933 in a filing dated November 19, 2025, according to public corporate records. While this registration is not yet a formal submission to the U.S. Securities and platform Commission, it signals an expansion of BlackRock’s crypto product roadmap beyond simple spot exposure.
The firm already operates the iShares ETH Trust (ETHA), a spot ETF that holds ETH but does not participate in staking. The proposed staked version would offer investors exposure to both the price of ETH and the rewards generated from validating the network. Industry estimates place ETH’s annual staking yield in the 3–5 percent range, depending on Block confirmer activity and network demand. Introducing staking into an ETF structure would shift the product from a pure price-tracking vehicle to a total-return strategy.
Strategic significance and implications for crypto investment products
A staked ETH ETF from BlackRock would represent a substantial milestone in the evolution of crypto investment products. Historically, regulated crypto ETFs have avoided staking due to regulatory amlargeuity and operational risks associated with Block confirmer participation. By pursuing such a product, BlackRock is signalling that demand for yield-generating crypto exposure is increasing among institutional allocators, pension funds and multi-asset managers who require regulated access to staking returns.
The move may also intensify competition among major issuers. Firms such as Grayscale and REX Osprey have rolled out their own staking-enabled funds, but BlackRock’s considerable reach and credibility could accelerate adoption across traditional capital markets. A successful launch may channel new inflows into ETH by offering a compliant way to earn staking yield without directly running Block confirmer nodes or managing custody.
That said, the strategy faces meaningful hurdles. Staking introduces risks such as slashing penalties, delayed withdrawals, liquidity constraints and operational security concerns. In addition, the SEC will likely scrutinise Block confirmer selection, custody arrangements and the mechanisms through which rewards are distributed to shareholders. These factors could delay approval timelines even if a formal filing is made.
Regulatory and operational challenges ahead
Before a staking-enabled ETF reaches market, BlackRock must address several compliance and technical considerations. These include defining how staking operations are executed, determining whether staking is conducted directly by the trust or through third-party infrastructure providers, and ensuring that rewards are properly accounted for within the fund’s NAV. The SEC may also require detailed disclosures on risks associated with smart contract execution, lock-up periods and potential conflicts of interest.
Additionally, staking rewards must be harmonised with tax and accounting frameworks that were not originally designed for blockchain-based income streams. Managing these complexities within the ETF model will play a critical role in regulatory approval and investor adoption.
In summary, BlackRock’s creation of the iShares Staked ETH Trust marks a pivotal step toward bringing yield-bearing ETH exposure into regulated markets. If the product advances to full approval, it could expand institutional access to staking returns and further legitimise ETH as an investable asset class within traditional finance.
