Grayscale Stakes $150M in Ether Ahead of Key SEC October Deadlines

• Grayscale launches first U.S. staking ETPs amid SEC scrutiny.
• SEC faces decisions on 16 crypto ETPs this month amidst a government shutdown.

On October 7, 2025, Cointelegraph reported that Grayscale, a leading crypto asset manager, staked $150 million in Ether through its newly launched Ethereum exchange-traded products (ETPs), which are the first in the U.S. to offer staking rewards. This move comes as the Securities and Exchange Commission (SEC) is set to review 16 altcoin ETP applications before the end of October, under mounting regulatory urgency.

Grayscale’s staking initiative involved 32,000 Ether, allowing shareholders of its Ethereum Trust (ETHE) and Ethereum Mini Trust (ETH) to earn passive income through staking rewards. These rewards will be treated as fund assets, with a portion distributed to shareholders after deducting fees. This development underscores Grayscale’s position as an innovator in regulated crypto investment products.

Unlike traditional exchange-traded funds (ETFs), Grayscale’s Ethereum ETPs fall under the Securities Act of 1933 instead of the Investment Company Act of 1940. This distinction underscores the evolving regulatory framework for crypto financial products, adding layers of complexity to the SEC’s oversight.

Later this month, the SEC is expected to decide on two other Ethereum-focused products. 21Shares’ Core Ethereum ETF is up for review on October 23, while BlackRock’s iShares Ethereum Trust is seeking an amendment to include staking rewards by October 30. These rulings will be pivotal as investor interest in staking-enabled crypto funds grows.

However, the ongoing U.S. government shutdown may hinder the SEC’s decision-making process. The agency is operating with a reduced staff, which could delay its ability to meet mandated deadlines, fostering uncertainty in the cryptocurrency market.

Investor interest in cryptocurrency funds has been surging recently, with record inflows reported last week. The market has also seen the emergence of other staking-enabled products, such as the REX-Osprey Solana Staking ETF, which operates under the 1940 Act. Additionally, Grayscale has introduced staking for its Solana Trust (GSOL) while pursuing regulatory approval to convert the trust into an ETP.

As of October 7, 2025, at 15:08 UTC, Ethereum (ETH) is trading at $4,541.93, reflecting a 2.46% decrease in 24-hour trading volume, according to CoinMarketCap data. Solana (SOL) is priced at $224.15, with a 4.19% decline in the same period. Both cryptocurrencies remain integral to the blockchain investment landscape.