BlackRock’s Spot Ethereum ETF Surpasses $1 Billion in Assets

Highlights:

• BlackRock’s iShares Ethereum Trust (ETHA) has garnered over $1 billion in inflows since its launch.
• ETHA accumulated nearly $870 million within its first 11 trading days.
• The SEC delayed options approval for BlackRock and Bitwise Ethereum ETFs to November 10.

US-based spot Ethereum (ETH) exchange-traded funds (ETFs) have recorded their highest weekly inflows since early August, reversing six consecutive weeks of negative outflows. One fund has surpassed a significant milestone, exceeding $1 billion in net asset value.

According to data from SoSoValue, US-based spot Ether ETFs recorded inflows of $58.7 million on Friday. This surge led to their first week of net positive inflows, totaling approximately $84.5 million, after six weeks of consecutive outflows.

On September 27, the total net inflow of Ethereum spot ETFs was $58.6487 million. Grayscale ETF ETHE had an outflow of $10.7183 million, Fidelity ETF FETH had an inflow of $42.5389 million, and BlackRock ETF ETHA had an inflow of $11.4592 million. https://t.co/Tvs2oCS03I

— Wu Blockchain (@WuBlockchain) September 28, 2024

BlackRock’s Ethereum ETF Surpasses $1 Billion, Ranks Among Top 20% of US ETFs

Friday’s inflows were driven by Fidelity’s FETH fund, which recorded $42.5 million, while BlackRock’s ETHA fund followed with $11.5 million. Although Fidelity had the larger one-day inflow, BlackRock’s fund reached a significant milestone, surpassing a total net asset value of over $1 billion just two months after its launch. 

It is the second fund to achieve this value, following Grayscale’s Ethereum Mini Trust. According to Nate Geraci, president of The ETF Store, this achievement positions BlackRock’s Ethereum ETF in the top 20% of over 3,700 ETFs available in the US market.

iShares Ethereum ETF eclipses $1bil in assets…

Now in top 20% of all 3,700+ ETFs.

Did this is 2 months. pic.twitter.com/iRWaxkjZxl

— Nate Geraci (@NateGeraci) September 28, 2024

The Ether ETF saw significant inflows early on, accumulating over $869.8 million within its first 11 trading days after launching on July 23. During this period, the BlackRock ETF attracted over $117.9 million in a single day on June 30 and more than $109.9 million on August 6. These inflows positioned it among the top six best-performing ETFs in 2024, with four out of the top five being spot Bitcoin ETFs. 

Back then, Nate Geraci said despite the market downturn, the cumulative inflows on August 5 and 6 alone placed it in the top 10% of ETFs launched in 2024. By September 16, 2024, the iShares ETF had garnered approximately $992 million, more than double the Fidelity Ethereum fund, which had only $382 million at that time.

SEC Postpones Decision on Ethereum ETF Options

In a filing on September 24, the US Securities and Exchange Commission announced its rescheduling for the approval and listing of options on BlackRock and Bitwise spot Ether ETFs.

The commission has pushed the approval date to November 10, following Nasdaq’s proposed rule change for listing and trading options for spot Ether ETFs. According to the SEC, the review of these proposed rule changes will require additional time. Prior to this, the regulator approved options trading for BlackRock’s spot Bitcoin ETF (IBIT) on September 20, marking it as the first of its kind.

JUST IN: The SEC delayed its decision on @BlackRock's iShares Ethereum Trust $ETHA options, postponing the ruling until November 10. pic.twitter.com/aAQRCJ70Qz

— CoinGecko (@coingecko) September 25, 2024

Sean Feeney, Head of US Options at Nasdaq, expressed satisfaction with the SEC’s approval and listing of IBIT options, emphasizing that this listing would protect investors and provide them with an additional low-cost risk management tool.

In a separate filing, the SEC postponed its decision on NYSE American LLC’s proposed rule change to list and trade options on the Bitwise Ethereum ETF, the Grayscale Ethereum Trust, and the Grayscale Ethereum Mini Trust. The new deadline for NYSE American LLC has also been set for November.

Following the Federal Reserve’s recent rate cut, Ether has outperformed bitcoin, with futures traders signaling renewed optimism for the world’s second-largest cryptocurrency by market capitalization. Additionally, transaction fees have surged due to a notable rise in blockchain activity.