Bernstein research forecasts US Ethereum ETFs to implement staking, projecting 4-5% annual yields
Bernstein research forecasts US Ethereum ETFs to implement staking, projecting 4-5% annual yields
Ethereum-focused exchange-traded funds (ETFs) in the United States may soon include staking yields, a development that could significantly enhance their appeal to investors. According to Bernstein Research, a Dec. 2 report highlighted the possibility of regulatory approval under a potentially crypto-friendly Securities and Exchange Commission (SEC) once Donald Trump assumes office in January 2025.
Staking involves locking Ether (ETH) as collateral on the Ethereum blockchain, earning rewards from network fees and other incentives. Current staking yields are approximately 3.1% annually, but Bernstein suggests this could increase to 4–5% with higher activity levels on the network.
Regulatory shift under trump administration
In July, the SEC authorized spot Ethereum ETFs but restricted them from staking ETH despite issuer requests. With Trump reportedly considering crypto-friendly appointments for financial regulators, Bernstein predicts staking could be approved earlier than anticipated. Trump has vowed to transform the U.S. into the "world’s crypto capital," a promise that could reshape regulatory landscapes for digital assets.
The report underscores a resurgence in investor interest in Ethereum, which had lagged behind Bitcoin in performance earlier this year. Ethereum funds have seen a record $2.2 billion in net inflows in 2024, surpassing the previous high of $2 billion in 2021. Analysts view this as a “dramatic turnaround in sentiment” for the cryptocurrency.
VanEck’s Matthew Sigel forecasts the Ethereum network could generate up to $66 billion in annual free cash flow by 2030, potentially driving ETH’s price to $22,000 per token.
The inclusion of staking yields in Ethereum ETFs could provide a significant boost to their attractiveness, reinforcing the cryptocurrency’s position as a leading digital asset. As regulatory clarity improves and institutional interest grows, Ethereum appears poised to solidify its role in the evolving financial ecosystem.
Ethereum investment products are also experiencing strong momentum, receiving $2.2 billion in inflows amid the rise of U.S. ETFs.
