BlackRock has introduced its iShares Staked Ethereum Trust ETF, trading under the ticker ETHB. This new product provides investors with spot ether exposure and the opportunity to earn staking rewards. It is the asset manager's third cryptocurrency ETF and its first to incorporate staking.
The fund will hold spot ether and stake a portion of its assets on the Ethereum network, offering investors a combination of price appreciation and staking income.
This launch further diversifies BlackRock's digital asset portfolio, following the success of its iShares Bitcoin Trust (IBIT) and iShares Ethereum Trust (ETHA). IBIT currently manages over $55 billion, while ETHA holds approximately $6.5 billion.
BlackRock anticipates the ETHB ETF will appeal to a diverse range of investors, including individual traders, financial advisors, hedge funds, and family offices seeking accessible Ethereum staking income via traditional brokerage accounts.
The ETF features a 0.25% sponsor fee, with a waiver for the first year. An introductory fee of 0.12% will apply to the first $2.5 billion in assets to promote initial adoption.
Ethereum was trading near $2,060 at the time of this report. The ETHB ETF enters a niche market, competing with offerings like Grayscale's staked Ethereum investment vehicle.