Holy crap, Fidelity is planning to distribute dividends for an Ethereum ETF—ETH is becoming a legit income-generating asset on Wall Street! Fidelity, which manages $7.8 trillion in assets, submitted an updated FETH filing to the SEC on August 11, preparing to add staking functionality to its spot Ethereum ETF. Under normal circumstances, up to nearly 100% of ETH can be staked. Of the staking rewards, FETH keeps 85%, with the remaining 15% going to parties involved in staking services. The net income is planned to be converted into USD quarterly and directly distributed to ETF holders. Based on FETH's asset size of approximately $911 million as of August 6, and roughly estimating the current staking yield of around 2.8%-3%, staking rewards could generate about $25-$27 million annually. After deducting the 15% staking fee, the yield for investors would be around 2.4%-2.6%. Subtract FETH's 0.25% management fee, and the final additional annualized cash yield is roughly 2%. This solves the most awkward issue with ETH ETFs. Now, retirement accounts, RIAs, and funds can buy ETH without needing to touch wallets, run nodes, or deal with on-chain operations. Just holding the ETF gives exposure to ETH price + staking cash flow. The short-term impact is limited, but in the long run, this is a major positive. If Fidelity, Grayscale, BlackRock, and other giants eventually turn all ETH ETFs into staking-enabled products, the competition between ETFs will shift from who has the lowest fees to who offers the highest staking yield and most stable dividends. This will continuously drive net inflows into ETFs. A significant portion of the newly purchased ETH will go into staking, creating a market dynamic of increased demand + reduced circulating supply. This combination is the real game-changer for ETH's price.