BNB Staking ETF Proposal Submitted to SEC by REX Shares

Rex Shares has filed an application with the U.S. Securities and Exchange Commission (SEC) to launch the REX-Osprey BNB Staking ETF. The fund would let investors gain exposure to BNB and potentially earn a 3 to 5% annual yield through staking.

The application, submitted on August 26, is organized under the Investment Company Act of 1940, which may allow for a faster review than other crypto ETFs. This move shows growing interest in BNB and suggests wider acceptance of altcoin ETFs in regulated markets.

How the ETF Integrates Staking

The REX-Osprey BNB Staking ETF is set up so it can hold and stake BNB safely while following U.S. rules. Rewards from staking on the BNB Chain would go to shareholders as dividends, giving the ETF both token exposure and passive income.

A regulated provider, likely like Anchorage Digital, would handle custody and staking. This protects the assets and makes it easier for investors to participate. Bloomberg analyst Eric Balchunas notes that the plan is similar to Rex’s Solana ETF, which quickly raised over $133 million.

The ETF combines crypto exposure with predictable returns, making it attractive for traditional investors. If approved, it could launch within weeks as one of the first U.S.-regulated products offering direct access to staked BNB.

Institutional Demand for BNB

The timing of this filing comes as institutional interest in BNB rises. By Q2 2025, over 30 publicly traded companies had invested around $800 million in BNB for their treasury holdings. Firms like Nano Labs and BNB Network Company are using the token to diversify strategically, taking advantage of its limited supply and token burns. Low transaction costs make it even more attractive for yield-focused investments.

Corporate adoption signals that altcoins are being seen beyond speculative trading. BNB’s growing role in institutional portfolios reflects a broader trend of integrating blockchain assets into mainstream finance. Challenges remain, as the SEC has delayed ETFs tracking Avalanche and Cardano over market and custody concerns.

The market reaction shows that investors want regulated ways to access top-performing tokens. A BNB Staking ETF could bridge traditional markets and digital assets, opening the door for more altcoin-focused investment products.

Potential Impact on the Crypto Industry

The approval of the REX-Osprey BNB Staking ETF could have notable effects on the U.S. crypto market. It would signal that altcoins can gain mainstream acceptance within a regulated framework and may motivate other fund managers to consider staking-focused ETFs for coins like ETH or SOL.

Offering regulated access to staked BNB could improve liquidity and bring in institutional investors. It also gives staking more credibility, showing it can be done safely. Investors should keep in mind that BNB prices still follow overall crypto market swings.

This proposal also highlights that altcoins are evolving into financial products that offer both price exposure and staking rewards, which could interest long-term investors and treasury managers.

Next Steps for Approval

Rex Shares’ filing will now undergo review by the SEC, which will examine compliance, custody protocols, and potential market risks. While the structure may facilitate the review process, approval is not assured, and additional information may be requested by regulators.

If approved, the ETF would give both retail and professional investors a regulated way to participate in BNB staking. Its launch would be an important step in connecting traditional finance with crypto.