“Institutional investors will likely not be concerned that US spot ether ETFs will not stake the underlying token to generate extra returns,” says Ophelia Snyder, co-founder of 21Shares. But retail investors may want this to be built-in. 😅

This divergent demand creates a potential business case for providers to list separate, distinct products to satisfy both parties. 🤔

“It's one of those things that forgets that staked assets have an impact on liquidity,” Snyder says. “So, if the unstaking period of ether increases to 22 days, how do you deal with that?” 🤷‍♀️

Snyder thinks the lack of staking isn't a problem for institutional investors. If so, they would want to see asset managers have a track record of effectively countering withdrawal delays. 🧐

21Shares is likely to capture the institutional market. Not only is it an existing spot bitcoin ETF provider in the US, but it is also one of the largest exchange-traded product (ETP) issuers in Europe. 🚀

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