Fidelity Ethereum Fund Can Stake All Its Ether

Fidelity's Ethereum Fund has been updated to include staking of ether held by the fund. The Fidelity Ethereum Fund (Cboe: FETH) aims to track the performance of ether, the native token of the Ethereum blockchain, as measured by the Fidelity Ethereum Reference Rate. The Index is constructed using ether price feeds from eligible ether spot markets and a volume-weighted median price methodology.

The fund's investment objective is to seek to track the performance of ether, adjusted for expenses and other liabilities, plus an amount based on staking rewards associated with ether. This means that the fund is expected to outperform the Index before considering its expenses and other liabilities.

The Sponsor will utilize the services of Custodians to stake all of the Trust's ether with one or more trusted node operators, except for ether reserved by the Sponsor in its sole discretion to facilitate foreseeable redemption transactions, pay Trust expenses, protect the Trust and its assets, and comply with its Liquidity Program.