BlackRock’s iShares Ethereum Trust (ETHA) has achieved a significant milestone, becoming the first Ethereum exchange-traded fund (ETF) to surpass $1 billion in net inflows. Data shows that ETHA reached this landmark on Tuesday, solidifying its position as a dominant player among the 11 recently launched spot ether ETFs.
Currently, ETHA holds over $860 million in net assets, making it the third-largest Ethereum product overall, trailing only Grayscale’s mini ether trust (ETH) and Ethereum trust (ETHE). What’s more, ETHA’s inflows exceed the combined totals of the next three highest Ethereum ETFs: Fidelity’s FETH ($367 million), Bitwise’s ETHW ($310 million), and Grayscale’s ETH ($227 million), according to data from SoSoValue.
Several other Ethereum ETFs have struggled to gain similar traction, with most recording less than $60 million in net inflows. In contrast, Grayscale’s ETHE, which was converted from an institutional-only trust, has experienced substantial outflows, losing $2.7 billion in net assets since its public launch.
While these ether ETFs have seen mixed performance, they have collectively underperformed compared to their bitcoin counterparts. The cumulative net outflows across Ethereum ETFs stand at over $440 million. This contrasts sharply with the explosive growth witnessed in spot bitcoin ETFs, which recorded daily net inflows of around $125 million during their first month, accumulating over $11 billion in total assets, excluding outflows from Grayscale’s converted GBTC.
BlackRock’s success extends beyond the crypto market. Its spot bitcoin fund has ranked among the top five ETFs globally for 2024 inflows, putting it on par with industry giants like the iShares Core S&P 500 ETF (IVV) and the Vanguard S&P 500 ETF (VOO). ETHA’s rapid growth underscores BlackRock’s expanding influence in the crypto ETF space as institutional investors continue to show interest in digital assets.
