The request, filed through Nasdaq, would allow the ETF to stake ETH on behalf of investors – a change BlackRock first outlined in July. The SEC began reviewing the proposal in August, but instead of concluding within the initial 45-day window, regulators said they need more time to fully consider the implications of staking inside a regulated fund.

This isn’t the only Ethereum ETF waiting on an answer. Applications from 21Shares and Grayscale, both seeking to add staking, have deadlines later in October. That timing has raised expectations that the SEC could rule on all three around the same period, potentially setting a precedent for how staking will be treated in U.S. investment vehicles.

Anticipation Builds in the Market

Ethereum has rallied in recent months as optimism grows that staking will become part of mainstream financial products. Analysts note that combining yield-earning opportunities with the ETF structure could open the door for institutional inflows on a scale not yet seen in Ethereum markets.

READ MORE:

Bitcoin DeFi Could Eclipse Ethereum, Says Cardano Founder

The SEC has previously clarified that staking itself does not constitute a security, which many observers interpret as a sign that eventual approval is more likely than not. Adding to that optimism is the example of REX Shares and Osprey Funds, whose Solana ETF already integrates staking.

What to Watch

All eyes are now on late October. The SEC’s decision could reshape Ethereum’s role in traditional finance, either by unlocking a wave of new products or by maintaining the regulatory uncertainty that has long surrounded crypto staking.

The information provided in this article is for educational purposes only and does not constitute financial, investment, or trading advice. Coindoo.com does not endorse or recommend any specific investment strategy or cryptocurrency. Always conduct your own research and consult with a licensed financial advisor before making any investment decisions.

The post BlackRock’s Ethereum ETF Faces SEC Roadblock – For Now appeared first on Coindoo.