Ethereum Staking Products Outshine Bitcoin ETFs Amid Growing Demand

Ethereum staking products are gaining attention away from Bitcoin ETFs, according to a report by 21Shares. The firm's Ethereum Core Staking ETP (ETHC) allows investors to access staking yields without directly managing their assets.

The product is physically backed by the underlying ETH, held in cold storage by an institutional-grade custodian, and charges a 0.10% product fee. Staking yield accrues daily to the ETP's net asset value, while the 30-day average yield provides a smoother measure of performance over time.

21Shares' report highlights that staking through ETPs can deliver rewards within standard brokerage infrastructure, addressing concerns around high investment thresholds and withdrawal waits for individual investors. The company notes that a dedicated liquidity buffer can also address the delay between unstaking and receiving assets, facilitating daily redemptions.