Spot ETH ETF trading volume exceeds $1 billion at the end of the first day

What’s new? On July 23, the US Securities and Exchange Commission (SEC) admitted to trading nine spot exchange-traded funds (ETFs) based on the largest altcoin Ethereum. At the end of the first day, the aggregate trading volume of shares of these funds amounted to $1,08 billion. For comparison, spot BTC ETFs achieved this result in less than half an hour after their launch on January 11 this year, and the total trading volume exceeded $4,5 billion in the first day.

Source: X.com

What else is known? Spot ETH ETFs are traded on three leading US stock exchanges. For example, the ETHA fund from BlackRock, the world’s largest investment company, has been launched on Nasdaq. EZET from Franklin Templeton, ETHV from VanEck, CETH from ARK Invest and 21Shres, FETH from Fidelity and QETH from Invesco and Galaxy Digital are traded on CBOE.

ETHW from Bitwise is available on the NYSE, as well as two funds from Grayscale: the main ETHE and its mini-version under the ETH ticker. As with the GBTC bitcoin fund, Grayscale’s ETHE has operated as a trust since 2017 and has now been converted to a spot ETF.

All funds, except ETHA, QETH and ETHE, do not charge management fees at the start. Fees will be introduced after several months, or when a certain threshold in terms of the value of assets under management is overcome. After that, fees will be 0,15-0,25% depending on the issuer. Grayscale’s ETHE has the highest fee in the industry at 2,5%.

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ETHE and ETHA had the highest trading volumes, with $458 million and $248,7 million, respectively, according to Bloomberg analyst Eric Balchunas. They were followed by FETH and ETHW with results of $137,2 million and $94,3 million. ETH ($63,8 million), ETHV ($44,8 million), EZET ($15,9 million) and QETH ($11,9 million) are next. CETH has the worst result with $8,6 million.

Thus, the new funds (which does not include ETHE), for the day showed a trading volume of $625 million. Balchunas called this indicator “healthy”.

Later, it became known that the inflow of funds in ETH ETF for the day amounted to $106,8 million. The indicator was largely adjusted by the withdrawal of funds from ETHE from Grayscale totaling $484,1 million. Excluding this fund, the inflow to the eight new ETFs amounted to $590,9 million.

BlackRock’s ETHA ($266,5 million) and Bitwise’s ETHW ($204 million) were the best performers.

Source: X.com

When launching spot BTC ETF GBTC from Grayscale also faced outflows due to high fees and the fact that before conversion, the product functioned as a trust without the possibility of redeeming shares. Outflows on GBTC have reached $18,72 billion so far. BlackRock’s IBIT and Fidelity’s FBTC are the leaders in terms of inflows: $19,57 billion and $9,99 billion.