Spot Ethereum ETFs See Contrasting Start with Net Inflows and Outflows
The U.S. spot Ethereum exchange-traded funds made a splash last week with their launch, but the results were mixed. While most ETFs saw significant net inflows, Grayscale’s converted fund, ETHE, experienced massive net outflows.
Nine new spot Ethereum ETFs from eight issuers hit the market last Tuesday after receiving approval from the SEC in May. In the first four days of trading, BlackRock’s ETHA led the way with $442 million in net inflows, followed by Bitwise’s ETHW and Fidelity’s FETH.
However, Grayscale’s ETHE saw over $1.5 billion in net outflows, leading to a total net outflow of $341.8 million for all U.S. spot Ethereum ETFs. This contrasted with the U.S. spot Bitcoin ETFs, which saw a total net inflow of $1.26 billion in their first four days of trading.
Despite the challenges faced by ETHE, experts remain optimistic about the overall success of the Ethereum ETFs. The trading volume for the Ethereum ETFs in their first week was impressive, accounting for 34% of the volume generated by the Bitcoin ETFs in their first four days.
Globally, digital asset investment products saw $245 million in net inflows, with Bitcoin products leading the way. The launch of the U.S. spot Ethereum ETFs contributed to a rise in trading volumes, with Ethereum-based investment products experiencing a total of $285 million in net outflows.
Overall, the Ethereum ETFs have shown promise in their early days, and investors are eagerly watching to see how they will continue to perform in the market.
