BlackRock’s spot Ethereum ETF has surpassed $1 billion in total net asset value just two months after its launch. This milestone comes after a strong week of trading for U.S.-based Ethereum exchange-traded funds, with net inflows turning positive for the first time in several weeks.
A Surge in Inflows for Ethereum ETFs
BlackRock’s fund, along with others like Fidelity’s FETH and Bitwise’s ETHW, saw a total of $58.7 million in inflows last Friday, leading to the first week of positive net inflows since early August. BlackRock’s ETF now ranks among the top 20% of the 3,700 ETFs available on the U.S. market, underscoring the growing institutional interest in Ethereum as an asset.
The increase in inflows is partially attributed to the Federal Reserve’s recent rate cut, which has bolstered optimism toward Ethereum. Transaction fees on the Ethereum network have also surged, further contributing to the renewed enthusiasm for the second-largest cryptocurrency by market capitalization.
Source: The Block
