2025-11287Notice

SEC Weighs Staking Rewards for Fidelity Ethereum Fund Shares

Published Date: 6/20/2025

Notice

Summary

The Cboe BZX Exchange wants to change the rules for trading shares of the Fidelity Ethereum Fund so it can start staking the ether it holds. This means investors might see new ways their shares can earn rewards. The SEC is now deciding whether to approve this change, with a decision expected soon, which could impact how the fund operates and potentially its value.

Analyzed Economic Effects

2 provisions identified: 0 benefits, 1 costs, 1 mixed.

Fund May Be Allowed to Stake Ether

The Cboe BZX Exchange proposed on March 11, 2025 to amend listing rules so the Fidelity Ethereum Fund could stake the ether it holds. If approved, investors in the Fund might see new ways their shares can earn staking rewards; the SEC instituted proceedings on June 16, 2025 and invited written comments by July 11, 2025.

SEC Reviewing Investor-Protection Concerns

The SEC instituted proceedings on June 16, 2025 to analyze whether permitting the Trust to stake ether is consistent with Section 6(b)(5) of the Securities Exchange Act, which concerns preventing fraud and manipulative acts and protecting investors. The Commission asked for written comments by July 11, 2025 and may disapprove the proposed change if it finds inconsistencies with those investor-protection standards.

Your PRIA Score

Score Hidden

Personalized for You

How does this regulation affect your finances?

Sign up for a PRIA Policy Scan to see your personalized alignment score for this federal register document and every other regulation we track. We analyze your financial profile against policy provisions to show you exactly what matters to your wallet.

Free to start

Key Dates

Published Date
6/20/2025

Department and Agencies

Department
Independent Agency
Agency
Securities and Exchange Commission
Source: View HTML
Back to Federal Register

Take It Personal

Get Your Personalized Policy View

Start a Free Government Policy Watch to see how policy affects your household, then upgrade to PRIA Full Coverage for year-round monitoring.

Already have an account? Sign in