SEC delays staking decision for Grayscale ETH ETFs

The SEC postponed its decision on Grayscale's Ether staking ETF proposals until June 1st, delaying a key feature for attracting investors. Staking allows investors to earn rewards by locking up their Ether, a potentially significant benefit. The SEC's delay contrasts with its recent approval of options trading for several spot Ether ETFs. This approval broadens the appeal of Ether ETFs to institutional investors. Annual staking yields on Ether vary, ranging from approximately 2% to 7% on different platforms. Ether ETFs have seen significant inflows since their launch, totaling $2.28 billion. However, this lags behind Bitcoin ETF inflows, highlighting a disparity in market adoption. BlackRock is also pursuing SEC approval for Ether staking in its ETF. The SEC's actions indicate progress in Ether ETF regulation, but also some hesitancy regarding staking. Ether's price performance has underwhelmed compared to other cryptocurrencies, potentially influencing investor interest.