Fidelity Seeks SEC Approval for Staking and Quarterly Payouts in Ethereum ETF

Fidelity Investments has submitted a proposal to the SEC to add staking capabilities and quarterly cash distributions to its $898 million Fidelity Ethereum Fund (FETH).

The fund could stake up to 100% of its Ethereum holdings, with 85% of staking rewards going to the fund after expenses, which would then be distributed to investors quarterly.

This move aligns Fidelity with other asset managers adding yield-generating features to Ethereum ETFs, signaling growing regulatory acceptance of staking within existing fund structures.