BlackRock applies to add staking functionality to its Ethereum ETF, which could become a new turning point for market transformation.

BlackRock has submitted documents to plan for its iShares Ethereum Trust (ETHA) to incorporate Ethereum staking functionality, allowing the fund to earn returns by validating transactions. This move could fundamentally change the profit model of Ethereum ETFs and have a profound impact on the existing market landscape.

BlackRock submits amendment application to include ETH stake in ETF structure According to the rule change request 19b-4 submitted by Nasdaq to the U.S. Securities and Exchange Commission (SEC), BlackRock aims to introduce a staking mechanism in its existing spot Ethereum ETF. The fund is set to officially launch in July 2024 and has already received over $7 billion in net inflows, making it the most successful Ethereum ETF product in the market.

If the SEC approves the changes, ETHA can participate in blockchain transaction verification with the held Ether and earn staking rewards. This will bring additional benefits to investors and may trigger more traditional funds to allocate to such "yield ETFs."

More institutions are competing in the staking arena, and regulation may be finalized in the fourth quarter of 2025 In addition to BlackRock, institutions such as Fidelity, Grayscale, and 21Shares have also applied to include staking in their ETF products. The SEC is currently reviewing similar requests submitted by Cboe and NYSE, with a decision expected in October, while the final review deadline for ETHA is April 2026.

Bloomberg analyst James Seyffart stated, "We believe that the stake is likely to be approved before the fourth quarter of 2025." He also added that the actual approval time may be earlier than the official deadline.

Stake Disputes and Potential Risks Although staking can enhance fund returns, some market participants express concerns about its safety and potential manipulation risks. However, the new application language from BlackRock clearly states: "As a reward for staking, the trust fund will receive all or part of the rewards generated by the staking service provider, which may be considered fund income."

This statement marks the first official attempt to combine the Ethereum ETF with the PoS (Proof of Stake) mechanism, which is of significant milestone significance.

Capital inflow continues to surge, Ethereum ETF popularity rises According to data from Farside Investors, in just the past 9 days, the net inflow of funds into Ethereum ETF has exceeded $2.2 billion. On July 16, it set a new historical high, with a total inflow of $726.6 million that day, of which nearly $500 million came from ETHA.

The current trading price of ETHA is close to 26 dollars, with a daily increase of about 1%. Overall, the popularity of the Ethereum ETF is rapidly rising, and the introduction of the staking feature may further ignite market sentiment.

Conclusion BlackRock is attempting to introduce a staking feature for ETHA, which means that the spot Ethereum ETF is evolving from a passive tracking tool to an actively managed income product. If the regulators approve, this innovation could redefine the Ethereum financial derivatives market and unlock significant institutional capital potential. For investors who are optimistic about the development of the Ethereum ecosystem, this move deserves close attention.