BlackRock's Head of Digital Assets: Approval for staking could be a "huge leap" for Ethereum ETF.

ChainCatcher news, BlackRock’s digital asset division head Robert Mitchnick stated that the demand for Ethereum ETF has been mediocre since its launch in July last year, but the situation could change if some regulatory issues hindering its development can be “resolved.” Mitchnick said at the digital asset summit held in New York City on Thursday that the general perception is that the success of the Ethereum ETF seems “unremarkable” compared to the explosive rise of Bitcoin funds. Although he believes this is a “misunderstanding,” he also acknowledged that the inability to earn staking rewards in the fund could be one of the limiting factors. “Clearly, the potential evolution of Ethereum ETFs has entered the next phase,” he said. ETFs have proven to be a very attractive tool through which many different types of investors can hold Bitcoin. There is no doubt that for Ethereum, ETFs are less than perfect without staking. Staking yield is an important way for you to earn a return on your investment in this space, and none of the Ethereum ETFs at launch included staking. ” Staking is a way for investors to earn passive income by locking tokens on the network for a period of time. If investors do not plan to sell their cryptocurrencies soon, this allows them to “put their crypto assets to work.” However, Mitchnick does not expect there will be an easy solution. He explained, “This is not a particularly simple issue. It’s not just that the U.S. government approves a certain plan and then it’s done, and everyone can start. There are still many quite complex challenges that need to be overcome to address this issue, but if these problems can be solved, then we will see a leap in the activity surrounding these products.”