News
Ethereum ETFs Hit $1 Billion, Accounting for 23% of Bitcoin’s First-Day Volume in US Debut
The highly anticipated Ethereum spot exchange-traded funds (ETFs) have debuted on U.S. exchanges, generating $1.08 billion in cumulative trading volume on their first day. Despite the impressive figure, the new offerings have received a mixed reception, with a net inflow of $106.6 million dwarfed by significant outflows from Grayscale’s converted Ethereum Trust.
BlackRock’s iShares Ethereum Trust (ETHA) and Bitwise’s Ethereum ETF (ETHW) were the top performers, attracting net inflows of $266.5 million and $204 million, respectively. Fidelity’s Ethereum Fund (FETH) came in third with $71.3 million in new investments.
However, the converted gray levels Ethereum The Trust (ETHE) saw a substantial outflow of $484.9 million, or about 5% of its previous valuation of $9 billion. This exodus is likely due to the removal of the six-month lock-up period that was previously imposed on investments in the trust.
Bloomberg ETF analyst Eric Balchunas noted that the $625 million in volume from the Newborn Eight products, excluding Grayscale’s ETHE, was “healthy.” He expects a significant portion of that to translate into inflows.
Ethereum Spot ETF Debut Follows Bitcoin spot ETFs to be launched in Januarywhich saw $655.2 million in inflows on its first day of trading. By comparison, Ethereum products’ performance is about 23% of the volume seen during the Bitcoin ETF’s debut.
Ferdinando Ametrano, CEO of CheckSig
“Ether ETFs are launching despite initial resistance from the SEC, which, when approving Bitcoin ETFs last January, said it would not allow ETFs for other crypto assets,” commented Ferdinando Ametrano, CEO of CheckSig. “There is a power struggle going on in the US: banks and asset managers want to offer financial services in the crypto space, while the regulator seeks to restrict them.”
Ether, the cryptocurrency underlying these new ETF products, saw a slight decline upon launch, trading at $3,441 at the time of reporting, down 1.4% over the past 24 hours.
SEC Finally Approves ETH ETF
The instruments are launched two months after the Securities and Exchange Commission (SEC) approved Crypto ETF listings on the Nasdaq, New York Stock Exchange and Chicago Board Options Exchange. Approved issuers of the Ether spot ETF include BlackRockFidelity, 21Shares, Bitwise, Franklin Templeton, VanEck, and Invesco Galaxy. It’s worth noting that all of these issuers also offer spot Bitcoin ETFs, which were approved by the SEC earlier this year.
Although the regulator gave the green light two months ago, He just finalized the S-1 registration forms for issuers of spot Ethereum ETFs, which were required for these instruments to begin trading on Wall Street.
“The debut of Ether ETFs confirms the institutionalization of the crypto ecosystem and demonstrates the growing confidence in crypto assets as investment and diversification tools for savvy investors’ portfolios,” added Ametrano.
Meanwhile, many companies are seeking approval for Solana based ETFsaiming to bring more
cryptocurrencies in the consumer market.
The highly anticipated Ethereum spot exchange-traded funds (ETFs) have debuted on U.S. exchanges, generating $1.08 billion in cumulative trading volume on their first day. Despite the impressive figure, the new offerings have received a mixed reception, with a net inflow of $106.6 million dwarfed by significant outflows from Grayscale’s converted Ethereum Trust.
BlackRock’s iShares Ethereum Trust (ETHA) and Bitwise’s Ethereum ETF (ETHW) were the top performers, attracting net inflows of $266.5 million and $204 million, respectively. Fidelity’s Ethereum Fund (FETH) came in third with $71.3 million in new investments.
However, the converted gray levels Ethereum The Trust (ETHE) saw a substantial outflow of $484.9 million, or about 5% of its previous valuation of $9 billion. This exodus is likely due to the removal of the six-month lock-up period that was previously imposed on investments in the trust.
Bloomberg ETF analyst Eric Balchunas noted that the $625 million in volume from the Newborn Eight products, excluding Grayscale’s ETHE, was “healthy.” He expects a significant portion of that to translate into inflows.
Ethereum Spot ETF Debut Follows Bitcoin spot ETFs to be launched in Januarywhich saw $655.2 million in inflows on its first day of trading. By comparison, Ethereum products’ performance is about 23% of the volume seen during the Bitcoin ETF’s debut.
Ferdinando Ametrano, CEO of CheckSig
“Ether ETFs are launching despite initial resistance from the SEC, which, when approving Bitcoin ETFs last January, said it would not allow ETFs for other crypto assets,” commented Ferdinando Ametrano, CEO of CheckSig. “There is a power struggle going on in the US: banks and asset managers want to offer financial services in the crypto space, while the regulator seeks to restrict them.”
Ether, the cryptocurrency underlying these new ETF products, saw a slight decline upon launch, trading at $3,441 at the time of reporting, down 1.4% over the past 24 hours.
SEC Finally Approves ETH ETF
The instruments are launched two months after the Securities and Exchange Commission (SEC) approved Crypto ETF listings on the Nasdaq, New York Stock Exchange and Chicago Board Options Exchange. Approved issuers of the Ether spot ETF include BlackRockFidelity, 21Shares, Bitwise, Franklin Templeton, VanEck, and Invesco Galaxy. It’s worth noting that all of these issuers also offer spot Bitcoin ETFs, which were approved by the SEC earlier this year.
Although the regulator gave the green light two months ago, He just finalized the S-1 registration forms for issuers of spot Ethereum ETFs, which were required for these instruments to begin trading on Wall Street.
“The debut of Ether ETFs confirms the institutionalization of the crypto ecosystem and demonstrates the growing confidence in crypto assets as investment and diversification tools for savvy investors’ portfolios,” added Ametrano.
Meanwhile, many companies are seeking approval for Solana based ETFsaiming to bring more
cryptocurrencies in the consumer market.