An S-1 update filed with the U. S. Securities and Exchange Commission on Tuesday indicated that Fidelity had canceled its plan to stake ether (ETH) holdings in its proposed spot exchange-traded fund (ETF).
In previous filings, the company said it intends to “sell a portion of the trust’s assets” to “one or more” infrastructure providers. However, he made it clear in Tuesday’s update that he will “bet the ether” stored in the custodian.
Staking is the process of locking up certain cryptocurrencies for a set period of time to help the functioning of a blockchain, in turn, in exchange for a reward. These rewards are widely considered a passive source of income among cryptocurrency traders.
Data from popular betting service Lido shows that annualized returns on ether bets were around 3% on Tuesday.
This story originally appeared on Coindesk