REX Financial and Osprey Funds are likely to introduce the first staking-based exchange-traded funds (ETF) for Ethereum and Solana in the US in the nearest future, ZyCrypto reports.
In May, the companies filed paperwork with the Securities and Exchange Commission (SEC) to launch exchange-traded funds backed by Solana and Ethereum. REX Shares and Osprey Funds proposed an ETF structure that allows holding and staking the two crypto assets. Besides, stake rewards can be distributed to shareholders. Nevertheless, the Commission rejected the application, questioning whether the funds complied with existing regulations due to their unique C-corporation structure. However, the issue has apparently been resolved, ZyCrypto says.
Under the said structure, stake rewards to shareholders are taxed within the fund before being distributed as dividends.
Bloomberg analyst Eric Balchunas says the SEC told the issuers of these ETFs that it had no further comments on their filings.
REX Financial and Osprey Funds claimed to be ready to launch the products. The Cboe BZX exchange will list the funds, and they will trade under the ticker symbols ESK for the Ethereum ETF and SSK for the Solana ETF.