TLDR
- Grayscale Ethereum ETP has started distributing staking rewards to its investors.
- Shareholders will receive $0.083178 per share from Ethereum staking rewards.
- The rewards were generated between October 6 and December 31 in 2025.
- The payout was made through the sale of previously earned staking rewards.
- Grayscale confirmed a total cash distribution of $9.4 million to eligible investors.
Grayscale has launched staking reward payouts for its Ethereum ETP, marking a new development in crypto-based investment products, and the Grayscale Ethereum ETP ($ETHE) has started its first distribution, confirming the integration of blockchain yield systems into regulated funds.
Grayscale Ethereum ETP Begins Staking Reward Distribution
Grayscale began distributing staking rewards to shareholders of its Ethereum ETP. The payout amounts to $0.083178 per share held. This payout reflects Ethereum staking rewards accumulated from October 6 to December 31, 2025.
The distribution officially began on January 6, 2026, through cash proceeds from staking activities. The Ethereum held in the fund generated returns through validator participation. These were then monetized and distributed directly to eligible investors.
Grayscale confirmed the fund had entered ex-dividend status before the payout. Share ownership at the set date determined eligibility. The cash payout totaled $9.4 million based on the staking rewards.
ETHE Offers Regulated Access to Ethereum’s Staking Yield
Grayscale Ethereum ETP stakes a portion of its holdings through institutional-grade validators. The rewards are earned through Ethereum’s proof-of-stake system. These rewards are reinvested into the fund’s net asset value.
This mechanism allows investors to gain from both ETH price movement and staking returns. It simplifies staking access without requiring infrastructure management. The fund thereby addresses investor demand for passive yield.
CEO Peter Mintzberg stated, “This marks a key moment for both Grayscale and the Ethereum ecosystem.” He added that Grayscale remains committed to expanding staking across more products. The move reinforces the firm’s position in digital asset innovation.
New Fund Names Reflect Staking Strategy
Grayscale renamed its Ethereum products for better market positioning. The Grayscale Ethereum Trust ETF is now Grayscale Ethereum Staking ETF ($ETHE). The Ethereum Mini Trust ETF has become Grayscale Ethereum Staking Mini ETF ($ETH).
These updates reflect the new focus on staking-based returns. Grayscale said the changes align the products with investor expectations. Both $ETHE and $ETH remain categorized as ETPs, not mutual funds.
They are not registered under the Investment Company Act of 1940. This status affects regulatory classification but allows more flexible structuring. The staking-enabled format adheres to regulatory and tax guidance.
Grayscale’s announcement first came on October 6, 2025. The firm declared its intent to distribute staking rewards. This represented a first for any U.S.-listed Ethereum ETP.
The SEC had delayed decisions on Ethereum staking ETPs. Grayscale’s product launch marked an early approval. This move could influence other pending applications.
Grayscale confirmed that staking would continue in future periods. It expects regular distribution cycles. These will depend on Ethereum network activity and validator yield.
The demand for yield-based crypto products is growing. Ethereum’s staking queue hit record levels in late 2025. Grayscale aims to meet rising institutional and retail interest.
The firm emphasized that investors now access yield without complex setup. ETHE combines accessibility with staking-based returns. It bridges the gap between traditional investing and blockchain-native rewards.


