The U.S. Securities and Exchange Commission (SEC) is examining proposed Ethereum and Solana staking exchange-traded funds (ETFs) filed by REX Shares and Osprey Funds. These funds aim to deliver staking rewards to traditional investors, bypassing typical restrictions. While a launch timeline remains unclear, the SEC has raised concerns regarding investor transparency and the effectiveness clause used in their registration application. ⏰ This scrutiny could impact both Ethereum and Solana markets as these cryptocurrencies are the assets under scrutiny for these new ETFs. The SEC’s examination also highlights the regulatory challenges of evolving financial products like staking-based ETFs. Should the funds gain approval, significant inflows into crypto markets are expected, potentially changing staked amounts and setting a precedent for future ETF structures. The outcome could dramatically reshape the landscape for cryptocurrency ETFs in the U.S., depending on regulatory policies and market responses.