3iQ was previously reported to have joined other institutions such as CoinFund and Keyrock in participating in Northstake’s initiative.
Digital asset service provider Northstake has added 3iQ, an asset manager for institutional-grade digital assets, as a market maker for its ETH validator marketplace. The new entrant has also committed 80 percent of its assets to staking.
The addition will make 3iQ the fifth market maker to join the marketplace, which allows asset managers to trade their ETH validators, and transform their spot ETFs to total return ETFs. The market maker has also completed the first trade of a validator on he marketplace, and has committed to staking 80 percent of their assets.
Greg Benhaim, Executive Vice President for Products at 3iQ, said: “3iQ believes that by adding liquidity to our ETF validators, we can unlock the full return potential of ETH for our customers. With strong participation from market makers and sufficient liquidity depth, there’s an opportunity to stake the entirety of the ETF’s assets, maximising its value. Northstake is currently the leading solution in addressing this need for ETFs.”
Jesper Johansen, CEO of Northstake A/S, said: “Our solution solves the contingent liquidity problem in a regulatory compliant way when staking ETH. This sets a new standard for how institutions should consider incorporating staking in their funds. The evidence and data we generate will provide a clear regulatory pathway for North American-based ETF issuers incorporating staking in their regulatory filings. Ultimately, our aim is to transform spot ETF into total return products”
