# 2025-04330: Fidelity Ethereum Fund Stakes Claim to Network Rewards via Rule Change

2025-04330, Self-Regulatory Organizations; Cboe BZX Exchange, Inc.; Notice of Filing of a Proposed Rule Change To Amend the Rule Governing the Listing and Trading of Shares of the Fidelity Ethereum Fund To Permit Staking, is a Federal Register notice from Securities and Exchange Commission published 2025-03-18, effective Comments should be submitted on or before April 8, 2025. The Commission will act within 45 days of the publication of this notice (or up to 90 days if extended).; PRIA reads it as touching household money (as of 2026-06-08).

- Canonical: https://policyrisk.com/federal-register/2025-04330
- As of: 2026-06-08
- Plain-text twin of the page above; the HTML and this file carry the same facts.

## Facts
- Document number: 2025-04330
- Title: Self-Regulatory Organizations; Cboe BZX Exchange, Inc.; Notice of Filing of a Proposed Rule Change To Amend the Rule Governing the Listing and Trading of Shares of the Fidelity Ethereum Fund To Permit Staking
- Type: Notice
- Agencies: Securities and Exchange Commission
- Citation: 90 FR 12626
- Published: 2025-03-18
- Effective: Comments should be submitted on or before April 8, 2025. The Commission will act within 45 days of the publication of this notice (or up to 90 days if extended).
- Comments close: not stated
- Significant: no
- Touches household money: yes
- Regulation identifier numbers: none
- Last updated: 2026-06-08

## In one line

Fidelity Ethereum Fund Stakes Claim to Network Rewards via Rule Change

## Summary

The Cboe BZX Exchange wants to update the rules for the Fidelity Ethereum Fund so it can start staking its ether holdings. This means the fund can earn rewards by helping secure the Ethereum network, potentially boosting returns for investors. The change is under review now, and if approved, it could start soon, giving investors a new way to grow their money.

## Effects PRIA read

- Fund Allowed To Stake Ether: benefit, medium. If approved, the Fidelity Ethereum Fund may stake all or part of its ether holdings to help validate the Ethereum network and earn staking rewards. The filing notes the Ethereum network transitioned to proof-of-stake on September 15, 2022, and validators must stake a minimum of 32 ether to operate…
- Staking Rewards Become Trust Income: benefit, medium. The Trust would receive all or a portion of any staking rewards generated by staking activity, and those rewards may be treated as income to the Trust. That income would flow to the Trust and could affect the Fund's returns available to shareholders.
- Sponsor Won't Pool or Solicit Stakes: benefit, low. The Sponsor will stake only ether owned by the Trust, will not pool the Trust's ether with ether from other entities, and will not solicit delegated stakes or promise specific staking returns. The Sponsor also will not advertise staking services to the public.
- Custodian Keeps Withdrawal Keys; Retrieval Right: benefit, medium. The filing states staking will not move Trust ether out of the Custodian's control: withdrawal private keys are controlled by the Custodian, and the Custodian can retrieve ether from validators even if validator hardware fails. This is intended to preserve Trust control over principal and rewards.
- Sponsor Will Maintain Liquidity For Redemptions: benefit, low. The Sponsor states it expects to maintain sufficient liquidity in the Trust to satisfy redemptions and current liabilities even if some ether is staked. This is intended to protect shareholders who redeem shares.

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- [2026-20466](https://policyrisk.com/federal-register/2026-20466): Adviser and Regulated Fund Custody Rules; Crypto Custody Rules, 2026-10-06
- [2026-19260](https://policyrisk.com/federal-register/2026-19260): Rescission of Rule 14a-8's Federal Regulation of Shareholder Proposals and Amendments to Rule 14a-4, 2026-09-21
- [2026-18424](https://policyrisk.com/federal-register/2026-18424): Political Contributions by Certain Investment Advisers, 2026-09-10
- [2026-18190](https://policyrisk.com/federal-register/2026-18190): Transfer Agent Rules, 2026-09-04
- [2026-17183](https://policyrisk.com/federal-register/2026-17183): Regulation Crypto Assets, 2026-08-21
- [2026-12163](https://policyrisk.com/federal-register/2026-12163): The Trade-Through Rule and Locked and Crossed Markets Provisions of Regulation NMS, 2026-06-17

## Sources
- [2025-04330 on federalregister.gov](https://www.federalregister.gov/documents/2025/03/18/2025-04330/self-regulatory-organizations-cboe-bzx-exchange-inc-notice-of-filing-of-a-proposed-rule-change-to)
- [2025-04330 as published (PDF)](https://www.govinfo.gov/content/pkg/FR-2025-03-18/pdf/2025-04330.pdf)

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- [All Federal Register documents](https://policyrisk.com/federal-register)

Source: PRIA, https://policyrisk.com/federal-register/2025-04330 (as of 2026-06-08).