Ethereum ETF in America attracts over 4 billion USD in just 11 months

The Ethereum spot ETF funds listed in America have surpassed the milestone of 4 billion USD in accumulated net inflows as of June 23, just 11 months after their official market launch.

These products were launched on July 23, 2024, and it took 216 trading sessions in America to accumulate the first 3 billion USD as of May 30.

However, after reaching the milestone of 3 billion USD, it only took an additional 15 trading sessions for these Ethereum ETFs to attract another 1 billion USD, bringing the total accumulated net inflow to 4.01 billion USD by the end of June 23. Notably, these 15 sessions accounted for only 6.5% of the total historical 231 sessions, yet represented 25% of the total net inflow since the beginning.

Source: SoSoValue### BlackRock leads, Grayscale slows down capital withdrawal

The iShares Ethereum Trust ETF (ETHA) from BlackRock is the main driver of this growth, attracting $5.31 billion in inflows, followed by Fidelity's FETH with $1.65 billion and Bitwise's ETHW with $346 million.

Meanwhile, Grayscale Ethereum Trust (ETHE) – converted to ETF from the old trust fund – saw 4.28 billion USD of outflows during the same period.

Daily data shows a clear turning point: ETHA attracted over 160 million USD just on June 11, and the entire system recorded 5 separate sessions with inflows exceeding 100 million USD from May 30 to June 23. Meanwhile, the pace of capital withdrawal from Grayscale has slowed down, helping the total cash flow across the market shift towards a strong upward trend.

Low management fees and organizational credibility promote capital flow.

ETHA and FETH only charge a 0.25% management fee, which is on par with the industry average and significantly lower than the 2.5% of ETHE. According to a report from CoinShares, the low costs along with the established primary market relationship have allowed BlackRock and Fidelity to maintain their advantage.

The report also highlights three main factors driving capital flow in June:

1. The price of ETH has recovered stronger than Bitcoin.
2. IRS ( American Tax Agency ) provides clearer guidance on staking income in trust fund ETFs.
3. The rebalancing orders from multi-asset managers view ETH as an extension of the investment portfolio rather than just an independent speculative asset.

Waiting for signals from professional organizations

The deadline for submitting the next quarterly 13F report in mid-July will reveal whether professional investment organizations participated in the recent late spring growth.

As of the end of March 31, these organizations accounted for less than 33% of the assets of spot Ethereum ETF funds, indicating that there is still a lot of room for institutional capital, even though retail capital is heavily focused on low-fee products.

Thạch Sanh