VanEck files S-1 for Ethereum staking ETF…uses Lido stETH as underlying asset

U.S. asset manager VanEck has reportedly filed a registration statement (S-1) with the U.S. Securities and Exchange Commission (SEC) for its Ethereum (ETH) staking exchange-traded fund (ETF), the "VanEck Lido Staked ETH ETF."

On the 20th (local time), Lido Institutional said on its official blog that "U.S. asset manager VanEck has filed an S-1 with the SEC for the Lido staking Ethereum-based ETF, the 'VanEck Lido Staked ETH ETF.'" The product is designed to provide investment exposure to Ethereum staked through the Lido protocol (stETH). The ETF will hold stETH as the underlying asset and will be operated based on audited smart contracts. It has also secured liquidity infrastructure through major exchanges and custodians.

stETH is a token issued in return when Ether is deposited with Lido, serving as a kind of "receipt." The deposited Ether is used for network validation, and investors can freely trade or utilize that value through stETH. Tokens like stETH are called liquid staking tokens (LSTs).

The ETF reflects the Ethereum staking structure while offering daily redeemability liquidity and on-chain transparency. The issuer does not need to hold separate ETH for redemption queues through liquid staking, and because stETH can be exchanged and traded immediately, redemption and issuance processes can be managed efficiently. Upon approval, institutional investors will be able to access Ethereum staking rewards in a tax-efficient manner within a regulated environment.

While previous staking ETFs reflected only a portion of staking rewards, this ETF is designed so that all staking rewards arising from Ethereum staking (100%) are fully reflected in the ETF's value.

The filing also reflects changes in the regulatory environment. Recently, the SEC's Division of Corporation Finance issued an interpretation that standard liquid staking activities (issuance, redemption, secondary trading, etc.) are not to be considered securities transactions if conducted within administrative and managerial scopes. It clarified that even if staking receipt tokens like stETH prove ownership of deposited assets, they are not classified as securities because the underlying assets themselves are not securities.

Kean Gilbert, Head of Institutional Relations at the Lido Ecosystem Foundation, said, "This filing shows a growing recognition that liquid staking is a core part of Ethereum infrastructure," adding, "stETH demonstrates that decentralization and institutional-grade standards can coexist and has laid the groundwork for a broader market to grow on top of it."

Sam Kim, Chief Legal Officer (CLO) of the Lido Labs Foundation, also said, "An ETF filing that references liquid staking is a sign that regulatory understanding is progressing," and added, "We are working with CCI, the Proof of Stake Alliance, the Blockchain Association, and others to ensure decentralized protocols can support access to Ethereum staking in a regulatory-friendly and transparent manner."

A Lido representative said, "This filing shows that the convergence of decentralized infrastructure and traditional financial products is strengthening," adding, "Liquid staking, and especially stETH, is serving as a bridge that connects to institutional investment within existing regulatory frameworks."

Meanwhile, users who have deposited Ether through the Lido protocol have received cumulative staking rewards totaling US$2 billion to date. Current total value locked (TVL) stands at about US$40 billion.