According to Cointelegraph, U.S.-based spot Ether exchange-traded funds (ETFs) marked their one-year trading anniversary on Wednesday, experiencing a notable three-week streak of inflows. These inflows have included some of the strongest days for the funds since their inception. The U.S. Securities and Exchange Commission approved the spot Ether ETFs to begin trading on July 23, 2024, with major financial institutions such as BlackRock, Fidelity, 21Shares, Bitwise, Franklin Templeton, VanEck, Invesco, and Grayscale entering the market. Over the past year, these nine ETFs have collectively attracted net inflows of approximately $8.69 billion, with assets under management reaching $16.57 billion, as reported by CoinGlass.
In the last 14 trading days alone, nearly half of the total net inflows, around $3.9 billion, have been recorded. This period has seen some of the largest single-day inflows for Ether ETFs in the past month. Despite Ether's struggle to surpass its all-time high of nearly $4,900 set in November 2021, the cryptocurrency has traded within a wide range, from highs of $4,000 in December to lows of $1,500 in April. Ether ETFs often find themselves compared to their Bitcoin counterparts, which launched earlier in 2024 and have amassed nearly $54.5 billion in net inflows. Currently, Ether is trading above $3,600, reflecting an 8% increase over the past 12 months, according to CoinGecko.
The first anniversary of U.S. Ether ETFs was marked by their seventh-best day of inflows, with $332.2 million recorded on Wednesday. Nate Geraci, president of NovaDius Wealth Management, noted on social media platform X that six of the ETF's top seven inflow days occurred in the past two weeks. The funds experienced their best-ever inflow day on July 16, taking in $726.6 million. BlackRock's iShares Ethereum Trust ETF (ETHA) has been a significant contributor, receiving $8.9 billion in net flows over the past year. This has helped offset the nearly $4.3 billion in net outflows from the Grayscale Ethereum Trust ETF (ETHE), which initially launched as a trust in 2017 before converting to an ETF.
Looking ahead, Ether ETF issuers are exploring the addition of staking to their funds. Staking involves locking up Ether to secure the Ethereum network, with rewards distributed to investors. Analysts anticipate that the U.S. Securities and Exchange Commission could approve ETFs with staking capabilities as early as this month. This development could pave the way for other crypto ETFs, including those tracking a basket of cryptocurrencies and Solana (SOL). Earlier this month, the first-ever ETF with staking was launched by REX Shares and Osprey Funds, holding Solana and passing on staking rewards to investors.
