Staking Feature Seen as a Major Catalyst for Investor Demand

The introduction of staking for spot Ethereum Exchange-Traded Funds (ETFs) in the United States is a significant positive catalyst for the asset, according to Du Jun, co-founder of ABCDE. He believes this development could drive more than $10 billion in net capital inflows within the next year.

In a recent statement, Du Jun explained that allowing ETFs to stake the underlying ETH adds a “yield attribute” to the investment product, functioning similarly to dividends from a stock. This feature is expected to make Ethereum ETFs more attractive to a wider range of institutional and retail investors seeking returns beyond price appreciation. As market leaders like BlackRock are anticipated to incorporate staking into their offerings, the increased demand is projected to have a substantial impact on the market.