21Shares applies for Sei (SEI) spot ETF…"Also considering reflecting staking rewards"

Cryptocurrency asset manager 21Shares (21Shares) submitted S-1 registration documents to the U.S. Securities and Exchange Commission (SEC) on the 28th (local time) for the launch of a Sei (SEI) spot exchange-traded fund (ETF).

On that day, 21Shares said the ETF aims to directly track the price of the Sei network's token (SEI). It also stated that it is considering a plan to stake some SEI tokens within the fund to reflect rewards.

However, the SEC has not officially allowed staking for ETFs yet. So far, Grayscale, BlackRock, and others have submitted proposals to add staking to spot Ethereum (ETH) ETFs but have not yet been approved. The SEC also delayed its decision on Grayscale's Ethereum ETF staking application on the same day.

The queue for altcoin ETF approvals is also growing. Currently, ETF applications tracking Litecoin (LTC), Solana (SOL), Dogecoin (DOGE), XRP (XRP), and others are awaiting SEC review. Recently, the SEC also delayed approval of Bitcoin and Ethereum ETFs issued by Truth Social, the social media platform operated by Trump Media & Technology Group (TMTG).

However, market observers expect the SEC will make a decision soon. Nate Geraci, head of NovaDius Wealth (NovaDius Wealth), said, "The likelihood that the SEC will soon make a decision regarding staking is increasing."