ETF staking addition is ‘positive development,' says ETC Group exec
The staking aspect of Ethereum ETFs is important because it’s similar to dividends in equities, ETC Group’s Chanchal Samadder believes.
The addition of staking into spot Ethereum (ETH) exchange-traded fund (ETF) applications is a crucial milestone, according to an executive at the European investment firm ETC Group.
The Ethereum staking aspect is important in the context of ETFs because it’s associated with the “difference between giving investors the price return or the total return of the asset,” ETC Group’s head of product Chanchal Samadder told Cointelegraph.
According to Samadder, Ethereum’s proof-of-stake (PoS) mechanism and related network rewards make it conceptually very similar to dividends in equities. “But only shareholders who exercise their voting right are eligible to receive 'dividends,'” the exec noted, adding:
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