US Spot Ether ETFs Mark One Year with Strong Inflows

Spot Ether ETFs in the United States celebrated their first anniversary of trading on Wednesday. The anniversary comes amid a sustained three-week streak of inflows , signaling growing investor interest in Ether-based products even as they continue to be overshadowed by their Bitcoin counterparts. Approved by the US Securities and Exchange Commission in July 2024, nine Ether ETFs entered the market, providing investors with regulated exposure to the world’s second-largest cryptocurrency. In the year since their launch, the nine ETFs have collectively gathered net inflows of around $8.69 billion and now hold $16.57 billion in assets under management, according to CoinGlass. Nearly $3.9 billion of these inflows have come in the last 14 trading days alone, reflecting renewed interest in Ether as altcoins gain momentum in the broader crypto market. BlackRock ETF Leads as Grayscale Sees Outflows Ether ETFs recorded their seventh-highest single-day inflow on their first anniversary, bringing in $332.2 million on Wednesday. This comes just a week after logging their best-ever day for inflows on July 16, when the funds collectively took in $726.6 million. According to Nate Geraci, president of NovaDius Wealth Management, six of the seven highest daily inflow days for Ether ETFs have occurred in the past two weeks, underscoring the recent acceleration in investor demand. BlackRock’s iShares Ethereum Trust ETF (ETHA) has been the primary driver of these flows, accumulating $8.9 billion over the past year. This strong performance has helped offset nearly $4.3 billion in outflows from the Grayscale Ethereum Trust ETF (ETHE), which converted from a trust to an ETF after operating as a trust since 2017. Geraci noted that nearly 1,000 ETFs have launched since Ether ETFs began trading, with BlackRock’s ETH fund leading all in net inflows, highlighting its dominant position in the crypto ETF space. Staking Could Shape the Next Phase for Ether ETFs Looking ahead, Ether ETF issuers are now seeking regulatory approval to incorporate staking into their products. Staking allows ETF holders to lock up their Ether to help secure the Ethereum network while earning rewards, potentially increasing the attractiveness of these funds for long-term investors. Analysts suggest the SEC could greenlight staking-enabled Ether ETFs as early as this month, following the precedent set by the first ETF with staking, launched earlier this month by REX Shares and Osprey Funds, which stakes Solana to distribute rewards to investors. As Ether trades above $3,600, up 8% over the past year, ETF issuers are optimistic that staking integration could attract new flows and further solidify Ether’s role within regulated investment products in the crypto ecosystem. The post US Spot Ether ETFs Mark One Year with Strong Inflows appeared first on TheCoinrise.com .

Source: The Coin Rise