VanEck’s Avalanche ETF Will Share AVAX Staking Rewards with Investors
VanEck has confirmed that its upcoming Avalanche ETF will use Coinbase Crypto Services as the initial staking provider and will incur a 4% service fee on staking rewards. All rewards generated from staking AVAX will accrue to the fund and be captured in the ETF’s net asset value, offering investors a streamlined way to access staking income without self-custody or validator management.
The move is significant because it packages staking yield into a regulated ETF format, potentially attracting investors seeking yield plus liquid tradability. The 4% fee will reduce gross staking returns, so net yield will depend on network rewards and operational performance. By combining AVAX price exposure with staking rewards, the VanEck product may appeal to both yield-focused and diversified crypto investors, while retaining counterparty and market risks tied to Coinbase and the Avalanche ecosystem.