REX Shares and Osprey Funds have submitted filings with the U.S. Securities and Exchange Commission to launch exchange-traded funds that combine exposure to Ethereum and Solana with native staking rewards, marking a significant step toward blending traditional finance infrastructure with decentralized proof-of-stake networks. The proposals arrive at a pivotal moment for the DeFi ecosystem, as institutional appetite for yield-generating crypto products continues to accelerate.
TL;DR
- REX Shares and Osprey Funds filed with the SEC for Ethereum and Solana staking ETFs
- Each fund will invest at least 80% of net assets in the respective token, with 50%+ staked for yield
- Anchorage Digital will provide custody and staking infrastructure as a federally chartered bank
- The filings come as the SEC has already approved spot Bitcoin and Ethereum ETFs
- FTX began its $5 billion creditor payout via BitGo and Kraken, with some customers receiving nearly 120% of claim values
How the Proposed Staking ETFs Would Work
According to the SEC filings, each fund will allocate a minimum of 80% of its net assets directly to the underlying cryptocurrency—either Ethereum or Solana. Crucially, at least 50% of those holdings would be staked on the respective blockchain networks to generate yield through validation rewards. This structure represents a fundamental evolution from the spot Bitcoin and Ethereum ETFs that currently trade, which offer price exposure but no participation in network consensus.
Anchorage Digital, a federally chartered digital asset bank, has been tapped to provide both custody and staking support for the proposed funds. Anchorage CEO Nathan McCauley called the development a “win for consumers” and a “significant step forward in full access to the crypto ecosystem.” The involvement of a federally regulated institution adds a layer of credibility that could ease regulatory concerns.
Why Staking ETFs Matter for DeFi
The intersection of ETF infrastructure and proof-of-stake validation represents one of the most consequential developments for the DeFi landscape in 2025. Ethereum’s transition to proof-of-stake, completed in 2022, created a yield-bearing asset class that traditional finance has been eager to access. Solana, with its high-throughput consensus mechanism and growing DeFi ecosystem, offers similarly attractive staking yields.
Currently, investors who want exposure to staking rewards must either run their own validator nodes, delegate tokens to third-party validators, or use decentralized liquid staking protocols like Lido and Rocket Pool. An ETF wrapper would simplify this process dramatically, allowing institutional and retail investors alike to earn staking yield through traditional brokerage accounts.
The potential impact on DeFi TVL could be substantial. Ethereum staking currently secures over $60 billion in value, and Solana’s staking ecosystem continues to grow. Bringing this yield into regulated financial products could attract billions in new capital from investors who have been sidelined by custody and compliance concerns.
Regulatory Landscape Shifting
The SEC has historically been cautious about staking-related products, citing concerns about whether staked assets constitute securities. However, the commission’s approval of spot Bitcoin ETFs in January 2024 and spot Ethereum ETFs later that year signaled a gradual shift in regulatory posture. The crypto industry has been engaging more proactively with regulators, and the appointment of new SEC leadership has further improved the outlook for innovative crypto financial products.
Notably, these filings come at a time when multiple firms are competing to launch similar products. The race to capture the staking ETF market underscores growing confidence that regulators will eventually greenlight these offerings, potentially before the end of 2025.
FTX Creditor Payouts Bring Closure to DeFi’s Dark Chapter
In a related development that impacts broader market sentiment toward crypto finance, FTX has commenced its long-awaited $5 billion creditor payout program. Distributions are being facilitated through BitGo and Kraken, with some customers reportedly receiving nearly 120% of their original claim values—a remarkable outcome for what was once considered a total loss.
The FTX payouts represent the final chapter of one of crypto’s most damaging collapses and serve as a reminder that even catastrophic failures in centralized finance can eventually be resolved through proper legal and regulatory processes. The return of capital to creditors is expected to inject fresh liquidity into the market, potentially benefiting DeFi protocols and staking products alike.
Circle, the issuer of USDC stablecoin, has also kicked off its IPO process during this period, aiming for a $6 billion valuation with ARK Invest reportedly eyeing a significant stake. The convergence of staking ETF filings, FTX recoveries, and major IPOs signals that the institutional infrastructure for digital assets is maturing rapidly.
Why This Matters
The filing of Ethereum and Solana staking ETFs represents more than just another financial product—it marks the formal integration of proof-of-stake consensus rewards into the traditional investment ecosystem. For DeFi, this could unlock a new wave of institutional capital that has been waiting for regulated, yield-bearing crypto exposure. Combined with the FTX creditor payouts returning billions to the market and Circle’s IPO ambitions, the second half of 2025 is shaping up to be a transformative period for the intersection of decentralized finance and Wall Street. Investors should watch the SEC’s response to these filings closely, as approval could set a precedent that reshapes how staking yield is accessed globally.
Disclaimer: This article is for informational purposes only and does not constitute financial advice. Cryptocurrency investments carry significant risk. Always conduct your own research before making investment decisions.
50% of holdings staked is actually aggressive for an ETF. most traditional fund managers would never touch validator risk like that
Anchorage as custodian makes sense given their federal charter, but whats the fee structure on staking rewards? thats where these products always get you
^ good question. if they take 15-20% of staking yield as a management fee on top of the ETF expense ratio youre barely beating just holding ETH
the 80% minimum asset allocation to the underlying token is pretty standard for commodity ETFs. the real question is whether the SEC approves staking at all inside an ETF wrapper