REX-Osprey ETH + Staking ETF tracks our CME CF Ether-Dollar Reference Rate – New York Variant

ESK brings ETH staking to Wall Street

CF Benchmarks congratulates REX-Osprey on achieving its latest milestone in a string of recent institutional crypto product market firsts, this time, after the firm’s successful launch of the REX-Osprey ETH + Staking ETF (ESK).

ESK highlights

Another REX-Osprey first: ESK is the first U.S.-listed ETF to provide both spot Ether exposure and the opportunity to receive on-chain Ethereum staking rewards, bridging the worlds of blockchain protocol participation with regulated TradFi.
Direct Protocol Participation: REX-Osprey aims to stake the majority of ETH held by the fund directly on-chain, with rewards distributed as monthly cash payouts—not as derivatives, nor as any other form of synthetic exposure.
Benchmarked to the Highest Standard: The fund’s NAV performance, excluding Ether rewards, is anchored to the CME CF Ether-Dollar Reference Rate – New York Variant (ETHUSD_NY), delivering institutional-grade transparency, replicability, and price integrity.

ESK is a true watershed

ESK is the first U.S.-listed spot ETH ETF offering investors the opportunity to receive direct staking rewards – an accomplishment unmatched by any of the other U.S. spot ETH ETFs listed to date. Moreover, ESK also provides institutional-grade spot Ether (ETH) exposure, alongside its direct access to on-chain staking rewards, within the familiar, regulated and convenient ETF wrapper.

This means ESK enables both institutional and sophisticated retail investors to access protocol-native Ether yield and ETH price returns, without the operational overhead, complexities and potential risks from interacting with crypto directly on-chain.

ESK x ETHUSD_NY

Meanwhile, CF Benchmarks is delighted that REX-Osprey has once again opted to select a regulated CF Benchmarks index as the reference price for another of its crypto ETFs, this time our CME CF Ether-Dollar Reference Rate – New York Variant (ETHUSD_NY) the robust, manipulation-resistant pricing source that powers the majority of U.S. Ether ETF assets.

Exploring ESK

ESK, which listed today on the Cboe BZH exchange, is a ’40 Act ETF, incorporated as a Cayman Subsidiary, a common ETF structure with no additional costs to investors, enabling streamlined handling of crypto exposure.

These structures have enabled REX-Osprey to secure relatively expedited authorization for ESK, thereby empowering investors with accelerated access to Ether price exposure alongside native staking rewards for the first time.

Objectives

The fund will generally invest the majority of its net assets in ETH, and assets that provide exposure to ETH. Additionally, the fund seeks to stake all of its ETH holdings, subject to the Adviser managing the Fund’s liquidity profile, such that no more than 15% of the Fund’s net assets are deemed to be illiquid.

Current staking conditions

Under current ETH staking conditions, because the unbonding period for staked ETH is anywhere from 3 to 16 days at the present time (September 25, 2025) the fund’s Adviser anticipates that no more than 15% of the fund’s holdings will be directly staked. This percentage can rise or fall depending on Ethereum network conditions

About Ethereum

Ethereum, launched in 2015, is the leading smart contract blockchain and the foundational infrastructure for decentralized applications, finance, and digital assets. It extends beyond Bitcoin’s original model of peer-to-peer transfer by enabling programmable transactions that underpin much of today’s on-chain economy.

A defining milestone came in 2022 with Ethereum’s transition to proof-of-stake (PoS) consensus. In this model, network security is maintained by validators which lock up ETH and earn staking rewards, creating both a consensus mechanism and a yield-bearing function for holders. Since withdrawals were enabled in 2023, participation has grown rapidly, with more than a quarter of ETH supply now staked.

This evolution has reshaped ETH into more than just a utility token. Staking provides a transparent, endogenous yield and reduces liquid supply, aligning the incentives of validators and long-term investors. Ethereum now stands not only as the dominant smart contract platform, but also as a maturing financial asset that combines utility with predictable income generation

About REX-Osprey

REX-Osprey is a joint initiative between REX Financial, a leader in thematic and alternative ETFs, and Osprey Funds, a digital asset specialist focused on crypto access and infrastructure. Together, REX-Osprey develops products that combine the integrity of traditional financial structures with the transformative potential of blockchain technology.

About the CME CF Ether-Dollar Reference Rate – New York Variant (ETHUSD_NY)

The CME CF Ether-Dollar Reference Rate – New York Variant (ETHUSD_NY) is a once-a-day investible benchmark index price for ETH, with design features that promote replicability, manipulation resistance and index integrity, including aggregation of trade data from multiple ETH-USD markets operated by major cryptocurrency exchanges. Each venue conforms to CF Benchmarks’ rigorous regulatory requirements.

ETHUSD_NY is a Registered Benchmark under the UK Benchmarks Regulation (BMR) framework, calculated and administered to the highest regulatory standards. CF Benchmarks is a Registered Benchmark Administrator, regulated by the UK FCA.

ETHUSD_NY is the pre-eminent index price for ETH risk settlement in North American trading hours, being synchronized to the traditional U.S. financial market close of 4 pm New York Time. The index was launched on February 28th, 2022.

ESK’s institutional use cases

The introduction of an ’40 Act Ethereum staking ETF represents an important development for institutions seeking exposure to ETH with yield characteristics in a regulated, liquid vehicle. The ETF wrapper provides familiar governance, investor protections, and daily liquidity, effectively obviating operational, custody, and counterparty considerations as concerns for the end investor.

Within that context, several institutional use cases emerge:

Diversified Alternatives Allocation
Institutions allocating to digital assets as part of a broader alternatives sleeve may view ESK as a vehicle that combines exposure to Ethereum’s growth with staking yield, in a form more readily compatible with existing mandates and compliance standards.
Yield Enhancement in Multi-Asset Portfolios
The embedded staking return gives ETH exposure characteristics closer to income-generating assets. Portfolio managers may use ESK as a diversifier alongside traditional yield sources, particularly in a low or volatile real-yield environment.
Risk-Managed Digital Asset Access
For institutions hesitant to engage in direct staking or custody, a ’40 Act ETF structure provides exposure without requiring bespoke infrastructure. This can serve as an entry point or “toe-hold” allocation that aligns with governance protocols around liquidity, reporting, and counterparty risk.
Strategic Hedge Against Digital Transformation
Allocators looking at Ethereum as foundational infrastructure for tokenization, payments, and decentralized finance may use ESK as a strategic hedge — gaining exposure to both the asset’s growth trajectory and its income component, while remaining within a regulated investment product.

Conclusion

The REX-Osprey ETH + Staking ETF (ESK) represents a significant advancement in digital asset investment products, offering the first U.S.-listed ETF to combine spot ETH exposure with protocol-native staking rewards. Benchmarked to CF Benchmarks’ CME CF Ether-Dollar Reference Rate – New York Variant (ETHUSD_NY), ESK enables institutional and professional investors to access secure, regulated Ether staking yield through a familiar ETF structure, with all rewards passed directly to shareholders.

This launch establishes a new standard for blockchain-native Ether yield delivery in traditional financial markets, setting a foundation for further integration of digital asset innovations within regulated investment vehicles.

Find out more

Click the links below to find out more about the REX-Osprey ETH + Staking ETF (ESK) and the CME CF Ether-Dollar Reference Rate - New York Variant (ETHUSD_NY)