PANews March 21 news, according to CNBC, since its launch in July last year, the demand for Ethereum ETFs has been tepid. Robert Mitchnick, head of digital assets at BlackRock, said that if some regulatory issues that hinder its development are "solved", the situation may change. Mitchnick said at the Digital Asset Summit in New York City on Thursday that it is generally believed that the success of Ethereum ETFs is "mediocre" compared to the explosive growth of funds tracking Bitcoin. Although he believes this is a "misunderstanding", he admits that the inability of these funds to obtain pledge income may be a factor hindering their development.

“Obviously there’s a next phase to the potential development of [an Ethereum ETF], and ETFs have proven to be a very, very attractive vehicle for a lot of different types of investors to hold Bitcoin,” he said. “There’s no question that an ETF without staking is not perfect for ETH today. Staking yield is a big part of how you generate a return on investment in this space, and all of the [Ethereum] ETFs launched without staking. It’s not a particularly easy problem to solve, it’s not like… the new administration just gives the green light and then we’re all good and go. There are a lot of pretty complex challenges that need to be solved, but if they can be solved, then the activity we see around these products will really jump.”