BlackRock’s New Ethereum ETF to Pay 82% Staking Rewards to Investors

• BlackRock plans Ethereum ETF distributing 82% staking rewards.
• ETHB designed to stake up to 95% holdings.
• Liquidity sleeve ensures flexibility while maximizing institutional yield exposure.

BlackRock is advancing plans for a new Ethereum exchange-traded fund that would distribute 82 percent of staking rewards directly to investors. According to details surfaced by Arkham Intelligence on X, the proposed product marks a clear pivot toward yield-focused crypto exposure within a regulated structure.

The vehicle is expected to launch under the name iShares Staked Ethereum Trust and trade with the ticker ETHB. Unlike traditional spot Ethereum ETFs, this structure centers on staking as its primary value driver. Consequently, investors would not rely solely on price appreciation. Instead, they would also participate in network-generated rewards.

BlackRock already operates the iShares Ethereum Trust ETF under the ticker ETHA. That fund has gathered more than $6 billion in assets since launch. However, ETHB would introduce a distinct framework designed to integrate on-chain yield into an ETF format.

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ETHB Designed to Prioritize Staking Yield Distribution

Under the proposed structure, BlackRock plans to stake between 70% and 95% of the Ethereum held by the trust. Additionally, the firm intends to maintain a liquidity sleeve ranging from 5 percent to 30 percent in unstaked ETH. This allocation aims to meet redemption requests while preserving operational flexibility.

Most notably, the trust would allocate 82 percent of staking rewards to shareholders. Meanwhile, BlackRock and its execution partner Coinbase would share the remaining 18 percent. The sponsor fee for the product is set at 0.25 percent of assets.

This distribution model places staking income at the center of the fund’s appeal. Moreover, it signals that institutional asset managers increasingly view Ethereum as a productive asset rather than a passive holding. By embedding staking into the ETF structure, BlackRock aligns traditional fund mechanics with blockchain-native reward systems.

Although the company has not announced an official launch date, expectations point toward a potential debut in the first half of 2026. As a result, ETHB could emerge as one of the first large-scale staking-integrated ETFs offered by a major asset manager.

Conclusion

BlackRock’s new Ethereum ETF proposal focuses squarely on delivering 82 percent of staking rewards to investors. By combining regulated ETF access with on-chain yield generation, the firm strengthens its foothold in crypto investment products while reshaping how institutional capital engages with Ethereum.

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