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<p>The post <a href="https://coinpedia.org/news/ethereum-etfs-set-to-mirror-bitcoins-success-will-they-capture-the-same-market-buzz/">Ethereum ETFs Set to Mirror Bitcoin’s Success: Will They Capture the Same Market Buzz?</a> appeared first on <a href="https://coinpedia.org">Coinpedia Fintech News</a></p> 
<p>The launch of <a href="https://coinpedia.org/news/ethereum-etfs-surge-with-4-billion-trading-volume-analysts-predict-bullish-breakout/" target="_blank" rel="noreferrer noopener">spot Ethereum exchange-traded funds </a>(ETFs) on July 23 sparked significant market interest, with initial inflows exceeding $100 million. This marked a notable shift from the previous four days of outflows for U.S. spot Ether ETFs, which saw a total of $33.67 million in new investments.&nbsp;</p> 
<p>However, this figure was partly offset by a $120.28 million outflow from Grayscale’s Ethereum Trust (ETHE). However many crypto analysts believe that Ethereum ETF will soon follow the bitcoin path.</p> 
<h2 class="wp-block-heading" id="h-ethereum-etf-to-follow-bitcoin">Ethereum ETF To Follow Bitcoin</h2> 
<p>Katalin Tischhauser, Head of Investment Research at Sygnum Bank and a former Goldman Sachs executive predicted that spot Ether exchange-traded funds could attract up to $10 billion in assets under management within their first year.</p> 
<p>She also forecasted that Bitcoin ETFs could see inflows ranging from $30 billion to $50 billion in their initial 12 months, with Ethereum products likely following suit.</p> 
<p>Tischhauser noted that Ethereum investments offer distinct advantages over Bitcoin. While Bitcoin is viewed primarily as a store of value, Ethereum’s value is derived from revenues and cash flows. This makes Ether more relatable for traditional institutional investors compared to Bitcoin’s perception as “digital gold.”</p> 
<h2 class="wp-block-heading" id="h-fee-waivers-to-attract-institutional-investors">Fee Waivers to Attract Institutional Investors</h2> 
<p>To attract institutional investors, several ETF issuers are waiving fees for their spot Ethereum funds. Franklin Templeton announced a 0.19% sponsor fee but will waive it for the first $10 billion in assets for six months. Meanwhile, Bitwise and VanEck will charge a 0.20% fee until some point in 2025.</p> 
<p>BlackRock has revised its registration statement for its spot Ethereum ETF, ETHA, to include a 0.25% management fee. Grayscale has launched its Grayscale Ethereum Mini Trust with the same 0.25% fee.</p> 
<h2 class="wp-block-heading" id="h-ethereum-etfs-exclude-staking">Ethereum ETFs Exclude Staking</h2> 
<p>However, enthusiasm is tempered by the <a href="https://coinpedia.org/news/how-the-exclusion-of-staking-from-ethereum-etfs-could-enhance-resilience/" target="_blank" rel="noreferrer noopener">absence of staking rewards</a> from these ETFs. In May, BlackRock, Grayscale, and Bitwise removed staking provisions from their SEC applications after discussions with the SEC.&nbsp;</p> 
<p>As traditional investment institutions are limited by regulations and legal constraints, they can only invest through ETFs, missing out on staking&nbsp;</p> 
<p>Also Check Out : <a href="https://coinpedia.org/news/crypto-news-today-fomc-holds-rates-steady-bitcoin-and-ethereum-price-decline/" target="_blank" rel="noreferrer noopener">Crypto News Today: Bitcoin, Ethereum Brace for Volatility as Fed Maintains Rates</a></p>

Ethereum ETFs Set to Mirror Bitcoin’s Success: Will They Capture the Same Market Buzz?

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