The U.S. Securities and Exchange Commission (SEC) has decided to extend the review period for a proposal to add staking features to the Invesco Galaxy Ethereum ETF.
Extension of Review Period
SEC has extended the deadline for making a decision on rule changes until September 25, 2025. Initially, a decision was expected by August 11, 2025. However, the SEC requires additional time for a more thorough evaluation of the proposed changes.
Proposal by Cboe BZX Exchange
Cboe BZX Exchange submitted a filing on June 9 to propose rule changes to grant staking authorization for its Ethereum ETF product. Amendment No. 1 was revised and submitted to the Federal Register on June 27.
Significance of Staking for the Market
The SEC noted that new financial practices like staking are crucial in terms of investor safety and market stability. The regulator emphasized the need for additional time to assess the proposal's potential impact.
The SEC's postponed decision highlights the importance of regulating new financial practices such as staking to protect investors and ensure market stability.
