21Shares has expanded its partnership with BitGo, extending custody and staking services across its U.S.-listed ETFs and international ETP products as demand grows for regulated yield-bearing crypto exposure.
Under the updated agreement, BitGo will act as qualified custodian and provide execution, trading, and integrated staking services for 21Shares products in the United States and Europe.
The arrangement builds on an existing relationship but broadens BitGo’s role as 21Shares adds new funds and adapts products for different regulatory regimes.
Staking moves closer to ETF infrastructure
For crypto fund issuers, staking has traditionally sat outside ETF mechanics, handled through separate providers or excluded altogether due to operational and regulatory constraints. Folding staking into a custody framework simplifies that setup by keeping assets under a single, supervised structure while they are used to generate yield.
BitGo’s platform allows staking to occur without moving assets out of qualified custody, addressing concerns around asset control, disclosures, and counterparty risk. That model is becoming more relevant as proof-of-stake networks account for a larger share of institutional crypto exposure.
Operational scale, not product hype
21Shares manages about $5.7 billion in assets and operates one of the broadest crypto ETP lineups globally. The firm has increasingly focused on infrastructure custody standards, execution quality, and governance, as scrutiny of fund operations intensifies.
BitGo provides insured custody, access to electronic and OTC liquidity, and staking services designed for institutional workflows. For ETF issuers, consolidating these functions reduces operational complexity and limits reliance on fragmented third-party arrangements.
Adam Sporn, head of prime brokerage and institutional sales at BitGo, said the expanded partnership supports 21Shares’ growing ETF lineup across multiple jurisdictions.
Andres Valencia, head of investment management at 21Shares, said BitGo was selected for its regulatory standing and custody controls as the firm expands staking-enabled products.
“21shares prides itself on providing a custody framework designed to support institutional digital asset operations and risk management across its global lineup of ETPs,” said Andres Valencia
Regulatory footing matters
The expansion follows a period of regulatory progress for BitGo. The company recently received approval from the Office of the Comptroller of the Currency to convert its trust subsidiary into a federally chartered digital asset trust bank, strengthening its position with U.S. regulators and institutional clients.
In Europe, BitGo operates under a Markets in Crypto-Assets Regulation license issued by Germany’s BaFin, allowing it to provide regulated services across the European Union.
That regulatory coverage supports ETF issuers seeking consistent custody and settlement standards across regions.
Staking enters the ETP market
Earlier this year, 21Shares launched a Solana exchange-traded product backed entirely by JitoSOL, giving investors regulated exposure to staking-linked returns without on-chain interaction.
The product, listed on Euronext in Amsterdam and Paris under the ticker JSOL, reflects staking rewards directly in its net asset value. By holding liquid staking tokens rather than locked assets, the structure allows yield generation while preserving transferability.
Gunel Ismayilova
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