Analyst Eric Balchunas noted that the new Ether ETFs attracted about half the initial inflows compared to Bitcoin ETFs on their first day.
Ethereum exchange-traded funds (ETFs) have just begun trading on stock exchanges, with analysts quickly revealing the first 15 minutes of inflow data.
According to Bloomberg’s senior ETF analyst Eric Balchunas, BitWise led the pack in the opening quarter-hour, securing $25.5 million in capital inflows. This impressive start is only surpassed by Grayscale’s Ethereum Trust, which launched back in 2017.
In the first 15 minutes of trading, the nine Ethereum investment funds saw total inflows of $112 million, much higher than typical ETF launches, according to a Bloomberg analyst.
Balchunas pointed out that although the current inflows into Ethereum ETFs are about half of what Bitcoin ETFs saw on their first day, they still exceeded expectations.
Ethereum Price Dips Despite Strong Ether ETFs Launch
Even though the much-anticipated Ethereum ETF launched with $112 million in inflows, the price of Ether has dropped since the start of the trading day. Ether started the day at about $3,540 but fell to a low $3,412. At the time of writing ETH is now trading around $3,416.
To attract investors, most of the nine Ethereum ETF issuers have either cut their fees or removed them for a while, highlighting the tough competition.
In a July 17 filing with the Securities and Exchange Commission, 21Shares announced they would waive fees for the first six months and then charge a 0.21% management fee after that period.
BlackRock used a similar fee discount plan, offering an initial management fee of 0.12%. This fee will increase to 0.25% after one year or when the ETF hits $2.5 billion in assets, whichever comes first.
Bitwise took a different approach by promising to donate 10% of its spot Ether profits to support Ethereum developers. This funding will go to the Protocol Guild, which includes over 170 Ethereum builders.
