The entity behind Fidelity’s fourth-largest Ethereum ETF by assets under management (AUM) plans to introduce staking capabilities and quarterly cash distributions for its proposed ETH-backed ETF.
Fidelity’s new offering will allow investors to stake up to 100% of their holdings under normal conditions without any minimum requirement. The ETF will retain some Ethereum (ETH) for redemptions, expenses, and other liquidity needs. Net rewards from staking will cover fund expenses first before being distributed quarterly in cash.
Specific timing for the rollout remains uncertain, as does the exact allocation of staking rewards.
Written by Oliver Grant
Markets Desk
