Grayscale Ethereum Staking Mini ETF Amends Trust to Mandate Staking Payouts

What Happened
Grayscale Investments Sponsors, LLC and CSC Delaware Trust Company executed a Third Amended and Restated Declaration of Trust and Trust Agreement on August 6, 2026, and filed an 8‑K on August 7, 2026. The new agreement (the “Third A&R Trust Agreement”) replaces the prior Second A&R Trust Agreement and requires the Trust to convert staking consideration to cash no less often than quarterly and promptly distribute the net cash proceeds to shareholders.

Key Details

• Agreement date: August 6, 2026; filed via Form 8‑K on August 7, 2026.
• Parties: Grayscale Investments Sponsors, LLC (Sponsor) and CSC Delaware Trust Company (Trustee).
• Distribution cadence: The Trust intends to distribute net staking cash proceeds monthly, but no less than quarterly.
• Net proceeds: Distributions equal staking consideration converted to cash, after deducting the Staking Fee and other applicable Trust expenses (including amounts paid to the Sponsor for facilitating staking).
• Administrative: The Third A&R Trust Agreement restates prior trust documents and a prospectus supplement under Rule 424(b)(3) will be filed to update offering disclosure. A copy of the Third A&R Trust Agreement is attached as Exhibit 4.1.

Why It Matters
For investors, this change creates a formal, regular cash-distribution framework for staking rewards, meaning holders may receive periodic cash payments from ETH staking proceeds instead of or in addition to reinvestment. Distribution amounts will vary based on actual staking consideration received and will be reduced by fees and expenses, so cash flows are not guaranteed. Shareholders should consider potential tax consequences from these distributions and consult their tax advisors.