Fidelity Seeks Staking, Quarterly Payouts for Ether ETF

Fidelity Investments’ Fidelity Ethereum Fund, or FETH, has traded on Cboe BZX since July 23, 2024, giving brokerage investors exposure to the spot price of ether without holding the token directly. Adding staking would allow the nearly $900 million vehicle to earn rewards for helping validate transactions on Ethereum’s proof-of-stake network, narrowing a return gap between ETF ownership and direct token holdings while sharpening competition among asset managers expanding regulated crypto products.

In a July 24, 2026 amendment filed with the U.S. Securities and Exchange Commission, Fidelity proposed staking as much as 100% of the fund’s ether under normal conditions while reserving liquidity for redemptions and expenses. A flat 15% of staking rewards would go toward fees shared among the sponsor, custodians and node operator, leaving the fund with 85%. Net rewards would normally be converted into U.S. dollars for quarterly shareholder distributions. The filing remains subject to regulatory effectiveness, and no first payment date was announced.