Grayscale plans to begin quarterly cash payouts of staking rewards from its Ethereum and Solana funds, with the first distribution expected around Aug. 7. The company said it will amend the trust agreements for the Grayscale Ethereum Staking ETF (ETHE) and the Grayscale Solana Staking ETF (GSOL) to convert staking rewards into cash at least once per quarter.

In SEC filings submitted on July 17, Grayscale outlined that the cash distributions would be made after expenses are covered and that the amount and timing of each payout would depend on the rewards actually earned during the relevant period. The filings note that the schedule sets a minimum frequency rather than a fixed payout date or amount.

The proposed structure would enable a like‑for‑like comparison of net cash returns, disclosed expense drag and timing between the two assets, and builds on an earlier cash distribution from ETHE in January that paid about $0.083 per share.

Under Revenue Procedure 2025‑31, qualifying grantor trusts may distribute net staking rewards in cash no less frequently than quarterly, and Grayscale’s agreements specify cash sales of the native assets before passing proceeds to shareholders. Holders would recognize staking rewards as taxable income when the trust receives them, and selling the assets to fund the payout may generate additional capital gains or losses.

The changes could enhance transparency for investors and affect fee competition among crypto ETF providers, though final approval from the SEC and holder‑specific tax consequences remain pending.