Key Takeaways
- • VanEck Digital Assets asked the SEC to withdraw the registration for its proposed Lido Staked Ethereum ETF, which would have held stETH, and confirmed that no shares have been issued and none will be.
- • The withdrawal was filed on Form RW on October 14, 2026, under Rule 477 of the Securities Act of 1933, nearly a year after the S-1 was originally filed on October 16, 2025.
- • VanEck did not disclose a rationale for the withdrawal or explain its timing.
- • At the time of the original filing, Lido reported total value locked of $38–40 billion and over $2 billion in cumulative staking rewards distributed, while its LDO token rallied approximately 7%.
- • The withdrawal does not alter the fundamentals Lido reported at filing, but it removes the specific institutional inflows that the LDO rally had priced in, at least through this vehicle.
Summary
VanEck Digital Assets has asked the SEC to withdraw the registration for its proposed Lido Staked Ethereum ETF, according to filings reported on October 14, 2026. The firm filed a Form RW under Rule 477 of the Securities Act of 1933 and confirmed that the registration had not become effective, that no securities had been sold, and that none would be issued under it. The Trust was registered as a Delaware statutory trust around October 2, 2025, and its S-1 registration statement followed on October 16, 2025.
The proposed fund would have held Lido's liquid staking token, stETH, giving investors exposure to Ethereum staking rewards through a conventional brokerage account. The design aimed to offer daily liquidity and on-chain transparency, and was pitched as tax-efficient. VanEck was the first firm to file for a US ETF tied to Lido's stETH, positioning the product as a way for pensions and wealth managers to collect staking yield without holding wallets or managing validators.
At the time of the filing, Lido's total value locked was reported in the range of $38–40 billion, and the protocol had distributed over $2 billion in cumulative staking rewards since launch. Lido's LDO governance token rallied approximately 7% after the initial ETF announcement. VanEck's withdrawal notice did not disclose a specific reason for the decision.
The withdrawal comes amid shifting SEC thinking on staking. The regulator has issued guidance distinguishing certain liquid staking activities from securities, and development of liquid staking ETFs continues in both the US and Europe despite VanEck's exit.
For LDO holders, the episode highlights that much of the token's rally reflected expectations of future institutional flows. With this vehicle withdrawn, those specific flows are off the table. Lido's reported fundamentals at the time of filing, however, did not depend on the ETF.
The proposed fund would have held Lido's liquid staking token, stETH, giving investors exposure to Ethereum staking rewards through a conventional brokerage account. The design aimed to offer daily liquidity and on-chain transparency, and was pitched as tax-efficient. VanEck was the first firm to file for a US ETF tied to Lido's stETH, positioning the product as a way for pensions and wealth managers to collect staking yield without holding wallets or managing validators.
At the time of the filing, Lido's total value locked was reported in the range of $38–40 billion, and the protocol had distributed over $2 billion in cumulative staking rewards since launch. Lido's LDO governance token rallied approximately 7% after the initial ETF announcement. VanEck's withdrawal notice did not disclose a specific reason for the decision.
The withdrawal comes amid shifting SEC thinking on staking. The regulator has issued guidance distinguishing certain liquid staking activities from securities, and development of liquid staking ETFs continues in both the US and Europe despite VanEck's exit.
For LDO holders, the episode highlights that much of the token's rally reflected expectations of future institutional flows. With this vehicle withdrawn, those specific flows are off the table. Lido's reported fundamentals at the time of filing, however, did not depend on the ETF.
Go deeper than the headline
Research every firm in this story, track the ones that matter and get the daily briefing — free for 7 days.