Investors Earn Full Ethereum Staking Rewards via REX-Osprey’s Pioneering ETF

REX-Osprey™ has launched the first U.S. Ethereum staking ETF, the REX-Osprey™ ETH + Staking ETF (ticker: ESK), on the Cboe BZX Exchange. The fund, structured under the 1940 Act, provides investors with exposure to spot Ethereum (ETH) while distributing monthly staking rewardsREX-Osprey Launches First Ethereum Staking ETF in the U.S.^[1]. ESK combines directly staked ETH with other exchange-traded products holding and staking ETH, ensuring all staking rewards are passed directly to investors without retention by REX or OspreyREX-Osprey Launches First Ethereum Staking ETF in the U.S.^[1]. This marks a significant development in institutional adoption of crypto-staking products within traditional financeREX-Osprey launches Ethereum staking ETF in US^[2].

The ETF builds on REX-Osprey’s prior success with the Solana Staking ETF (SSK), launched in July 2025. SSK, the first U.S. Solana ETF with staking rewards, has attracted over $300 million in assets and transitioned to a Regulated Investment Company (RIC) structure to enhance tax efficiencyREX-Osprey Launches First Ethereum Staking ETF in the U.S.^[1]. ESK’s launch follows a regulatory landscape where major players like BlackRock and Fidelity await SEC approval to add staking to their Ethereum ETFsREX-Osprey first to launch staking Ethereum ETF as BlackRock, Fidelity await SEC^[8]. REX-Osprey’s approach, leveraging the 1940 Act framework, bypasses the traditional SEC 19b-4 approval process, enabling faster market entry.

ESK’s structure emphasizes transparency and accessibility. Unlike private staking agreements, the fund does not retain a share of staking rewards, aligning investor returns directly with Ethereum’s proof-of-stake networkREX-Osprey unveils first Ethereum staking ETF amid cooling investor appetite^[3]. Greg King, CEO of REX Financial, highlighted that ESK “delivers Ethereum exposure and staking rewards in the most broad-based U.S. ETF format,” underscoring the firm’s focus on integrating crypto innovation with traditional financeREX-Osprey Launches First Ethereum Staking ETF in the U.S.^[1]. The fund’s assets are concentrated in the Ethereum ecosystem, exposing investors to risks tied to market volatility, regulatory shifts, and operational challenges inherent to blockchain technologyREX-Osprey Launches First Ethereum Staking ETF in the U.S.^[1].

Market dynamics for Ethereum ETFs have shown mixed trends. While spot Ethereum ETFs have accumulated $27.42 billion in assets, net inflows slowed to $110 million in September 2025, compared to $3.8 billion in AugustREX-Osprey unveils first Ethereum staking ETF amid cooling investor appetite^[3]. This context positions ESK as a potential catalyst for renewed investor interest by offering yield generation through staking. The SEC’s evolving stance on crypto staking, including recent filings by Cboe BZX Exchange for 21Shares’ Ethereum staking ETF, signals a regulatory shift toward accommodating staking mechanismsCboe BZX Exchange Pushes For Ethereum ETF Staking In New SEC Filing^[4].

Despite its innovations, ESK carries significant risks. The fund is non-diversified and concentrated in the crypto sector, exposing it to heightened volatility from market, liquidity, and regulatory uncertaintiesREX-Osprey Launches First Ethereum Staking ETF in the U.S.^[1]. Staking itself introduces operational risks, including validator failures, smart contract vulnerabilities, and potential slashing penalties if staked assets are compromisedREX-Osprey™ Launches First Ethereum Staking ETF in the US^[7]. Additionally, the fund’s reliance on custodians for private key management exposes it to cybersecurity threatsREX-Osprey Launches First Ethereum Staking ETF in the U.S.^[1]. Investors are advised to carefully evaluate these risks before committing capital.

REX-Osprey’s strategy extends beyond Ethereum, with plans to launch a BNB Staking ETF and a Dogecoin ETF, reflecting broader ambitions to expand crypto-accessible investment vehiclesREX-Osprey Launches First Ethereum Staking ETF in the U.S.^[6]. The firm’s approach underscores a growing trend of institutional players leveraging ETF structures to democratize access to crypto yields while navigating regulatory complexitiesREX-Osprey first to launch staking Ethereum ETF as BlackRock, Fidelity await SEC^[8].