SEC Extends Review Period for Grayscale's Ethereum ETF Staking Proposal

The United States Securities and Exchange Commission (SEC) has announced a delay in its decision regarding the staking feature for Grayscale's spot Ethereum ETFs. This move extends the initial 45-day review period, setting a new deadline for June 1.

Background of the Proposal

In February, NYSE Arca, Inc. submitted a proposal to the SEC, seeking to amend the rules for the Grayscale Ethereum Trust ETF and Grayscale Ethereum Mini Trust ETF to include staking. The original decision deadline was April 17, following a 45-day public comment period.

Reason for the Extension

The SEC cited the need for "sufficient time" to thoroughly evaluate the proposed rule change. This extension allows the commission to carefully consider the implications of permitting staking within these ETFs before making a final decision.