Fidelity Ethereum Fund: A Regulated Bridge to Ethereum

Fidelity's Ethereum Fund (FETH) is a regulated bridge to Ethereum, launched in 2024. It aims to reflect the valuation of Ethereum and is one of the first ether spot ETPs/ETFs in the U.S. FETH's objective is to provide investors with exposure to Ethereum without directly owning the cryptocurrency.

Fidelity Investments, a prominent U.S. asset management firm, has once again demonstrated its commitment to Ethereum by purchasing 34,740 Ethereum tokens valued at $159.4 million for its spot ETF on Thursday. This acquisition is part of a broader trend reflecting continued institutional demand for Ethereum exposure through regulated investment products Fidelity Ethereum ETF purchases 34,740 Ethereum worth $159.4M^[1].

The Ethereum Fund (FETH) was launched in 2024 and aims to provide investors with exposure to Ethereum without directly owning the cryptocurrency. Since its inception, Ethereum ETFs have seen cumulative inflows exceeding $1 billion, indicating growing mainstream acceptance of digital assets among institutional investors Fidelity Ethereum ETF purchases 34,740 Ethereum worth $159.4M^[1]. Fidelity has reported consistent Ethereum purchases for its ETF throughout 2025, with acquisitions ranging from tens to hundreds of millions in value Fidelity Ethereum ETF purchases 34,740 Ethereum worth $159.4M^[1].

This latest purchase is notable as Ethereum developers have set December 3 as a tentative date for the mainnet rollout of its next big upgrade, Fusaka. Fusaka features several improvements aimed at enhancing data optimization, increasing the gas limit, and expanding blobspace on Ethereum Ethereum Price Forecast: ETH drops 3% as developers set year-end target for Fusaka^[2]. The upgrade is expected to launch on Holesky, Sepolia, and Hoodi testnets before proceeding to the mainnet launch.

Despite the stated timelines, there is no guarantee that the developers will meet all the targets, considering potential challenges during testnet upgrades Ethereum Price Forecast: ETH drops 3% as developers set year-end target for Fusaka^[2]. The upgrade is crucial for Ethereum's scalability and could significantly impact the network's performance and user experience.

In the meantime, Ethereum's price has been volatile, dropping 3% on Friday amid plans for the Fusaka upgrade. The price is currently at $4,460, and developers are aiming for a new all-time high around $5,300 if the network successfully validates a cup and handle pattern Ethereum Price Forecast: ETH drops 3% as developers set year-end target for Fusaka^[2].

Fidelity's continued investment in Ethereum through its spot ETF underscores the growing interest and confidence in the cryptocurrency among institutional investors. As Ethereum approaches its next major upgrade, investors are closely watching the developments to gauge the potential impact on the network and its valuation.