Hashdex Introduces Staking Income for Shareholders in Nasdaq CME Crypto Index ETF

Crypto asset manager Hashdex has introduced a staking structure for its Nasdaq CME Crypto Index ETF (NCIQ), which will allow it to retain the first portion of staking income before sharing additional rewards with investors. This move comes just a week after GrayScale introduced quarterly cash distributions from staking rewards on its Ethereum and Solana exchange-traded funds.

Under Hashdex's new structure, staking provider fees are deducted first, followed by Hashdex retaining all remaining net staking income up to an annual threshold equal to 0.25% of the fund's common-share net asset value through a Sponsor Share. Any staking income above that level is split, with 60% flowing to shareholders and 40% retained by Hashdex.

Coinbase Cloud will serve as the initial staking provider once the program becomes operational. Hashdex plans to stake between 10% and 20% of the fund's net asset value, which currently consists of Ethereum (11.75%), Solana (3.17%), and Cardano (0.49%).

As institutional crypto products increasingly compete on staking yield rather than management fees alone, Hashdex's new structure reflects this growing trend in the industry.