21Shares has significantly updated its Sui ETF filing (S-1) with the SEC, introducing key features and partners that signal its readiness for approval.
Key Updates and Partners
The most notable addition is the plan to integrate staking for the Sui blockchain directly into the ETF.
- Staking Inclusion: The ETF will allow investors to earn passive rewards generated by the Sui network indirectly, without having to manage private keys or run nodes themselves.
- Staking Partner: Coinbase has been named as the staking partner for a two-year deal. Coinbase will validate transactions, manage the security of the tokens, and return staking rewards back to the trust, which should increase the ETF's value.
- Exchange Listing: 21Shares confirmed the ETF will be listed and traded on the Nasdaq exchange under Rule 5711(d), which governs commodity-based trust shares, implying the product meets high regulatory standards.
- Custodians Named: The Bank of New York Mellon will serve as the cash custodian for all non-crypto assets, while Coinbase Custody was named as the crypto custodian for the Sui tokens.
The filing did not yet disclose the trading ticker or the associated fees.
Market Reaction
The updated filing, which followed a recent government shutdown delay, was met with a positive reaction from the crypto market:
- The price of SUI tokens jumped from $\$2.40$ to $\$2.47$ immediately after the news broke.
- The total Sui futures open interest rose 3% in one hour, reaching $\$823$ million.
Analysts suggest that adding a staking component could significantly enhance potential returns compared to traditional crypto funds. If approved, this could make the 21Shares Sui ETF one of the first in the US to combine regulated market exposure with a passive income-generating feature. Investors in the ETF would own a token without having to buy or hold the underlying asset directly.
October 2025, Cryptoniteuae