The newly launched spot Ether ETFs posted positive net inflows despite being weighed down by $485 million bleeding from Grayscale’s Ethereum Trust, reports Cointelegraph.
United States Ether exchange-traded funds (ETFs) posted net inflows of $106.6 million on their first day of trading despite massive outflows from Grayscale’s freshly-converted Ethereum Trust.
BlackRock’s iShares Ethereum Trust ETF (ETHA) led the pack with $266.5 million of inflows, followed closely by the Bitwise Ethereum ETF (ETHW) with $204 million in net inflows.
The Fidelity Ethereum Fund ETF (FETH) came in third with $71.3 million.
The inflows to the “newborn” spot Ether ETH ETFs were enough to overcome bleeding from the Grayscale Ethereum Trust (ETHE), which saw outflows of $484.9 million on the day, amounting to 5% of the once $9 billion fund.
ETHE was launched by Grayscale in 2017, allowing institutional investors to buy ETH. However, it imposed a six-month lock-up period on all investments.
Its conversion to a spot ETF means that investors can more easily sell their shares, which could explain the high day-one outflows.
In January, spot Bitcoin BTC ETFs were marred by a similar dynamic with the Grayscale Bitcoin Trust, which saw over $17.5 billion in outflows following the launch of the 11 spot BTC ETFs.
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