Spot Ethereum ETF fund inflows hit a new high, exceeding $4 billion in 11 months.

The U.S. Spot Ethereum ETF product launched on July 23, 2024, has seen significant capital inflows within just 11 months. As of June 23, the cumulative net inflow of funds for these ETFs has surpassed the $4 billion mark, demonstrating strong investor interest in Ethereum.

Data shows that over 231 trading days, the capital inflow into these ETF products has shown an accelerating trend. Especially in the last 15 trading days, it attracted about $1 billion in funds, accounting for 25% of the total inflow. This rapid growth trend is remarkable and reflects the market's increasing demand for Ethereum investment tools.

Among the numerous ETF products, the Ethereum trust of a well-known asset management company has performed exceptionally well, with total inflows reaching $5.31 billion. Additionally, the ETF products of two other companies attracted $1.65 billion and $346 million in funds, respectively. Meanwhile, a traditional trust company's product saw a capital outflow of $4.28 billion during the same period, showing a clear trend of capital transfer.

The daily capital flow data more clearly demonstrates this change. For example, on June 11, over $160 million flowed into a certain ETF product in a single day. Between May 30 and June 23, this product had five trading days with single-day inflows exceeding $100 million, highlighting investors' continued enthusiasm.

It is worth noting that the newly launched ETF products generally adopt a lower management fee rate of 0.25%, which is in line with the industry median. In contrast, the 2.5% fee rate of traditional products appears relatively high. This fee advantage, combined with established relationships in the primary market, has become an important factor in attracting capital inflows.

Industry experts analyze that there are three main reasons driving the surge in capital inflow in June: first, the rebound of ETH price relative to BTC; second, the clearer guidance from the U.S. tax authorities on staking income; and finally, the large-scale rebalancing orders from multi-asset allocators have also played a role in promoting this. These investors tend to view Ethereum as an extension of their investment portfolios rather than merely a speculative bet.

As the deadline for the next quarter's 13F filing approaches in mid-July, the market will have a clearer understanding of whether professional investment managers are participating in this wave of capital inflow. As of the end of March, institutional investors accounted for less than 33% of the assets in Spot Ether ETFs, indicating that there is still significant room for increased institutional participation.

Overall, the strong performance of the Spot Ethereum ETF not only reflects investors' confidence in Ethereum but also indicates that cryptocurrency investment tools are gradually becoming mainstream. With the addition of more institutional investors, this trend is expected to strengthen further, bringing more liquidity and stability to Ethereum and the entire cryptocurrency market.