Ethereum News Today: Ethereum ETFs Surpass Bitcoin ETFs With 15% Higher Daily Inflows

Ethereum exchange-traded funds (ETFs) have achieved a historic milestone by surpassing Bitcoin ETFs in terms of daily inflows for the first time. On July 17, Ethereum ETFs recorded an inflow of $602.02 million, which is a 15% increase compared to Bitcoin ETF inflows of $522.60 million on the same day. This marks a significant shift in the investment landscape, with Ethereum attracting more institutional capital than Bitcoin.

BlackRock's Ether ETF, ETHA, led the inflows with $546.70 million, accounting for over 90% of the daily total Ethereum ETF inflows. Grayscale and Fidelity followed with $29.90 million and $17.19 million in inflows, respectively. Other Ethereum ETFs from Bitwise, 21Shares, VanEck, Franklin Templeton, and Invesco saw varied levels of inflows or no inflows at all. The total trading value of spot Ether ETFs reached $2.29 billion, boosting the total net asset value to $17.32 billion.

Bitcoin ETFs also saw significant inflows, with BlackRock's IBIT leading the way with $497.30 million, accounting for over 95% of the daily total Bitcoin ETF inflows. Fidelity’s FBTC and Invesco’s BTCO followed with $7.83 million and $7.12 million, respectively. The total recorded trading value of spot BTC ETFs stands at $3.76 billion, pushing the funds’ net asset value to $154.61 billion.

The surge in Ethereum ETF inflows can be attributed to several factors. Ethereum's real-world utility and its role in the tokenization of real-world assets (RWA) on the blockchain have made it an attractive option for institutional investors. The increasing number of stablecoin use cases has further reinforced Ethereum's long-term value proposition. Additionally, the regulatory compliance of RWA has expanded Ethereum's application scenarios, making it a more secure and compliant investment option. This has led to a significant inflow of institutional capital into Ethereum ETFs.

The trend of Ethereum ETFs attracting substantial investments is not an isolated event. Since the beginning of July, Ethereum spot and futures ETFs have attracted a total of over $730 million in net inflows. This includes a record $726.6 million in single-day net inflows on a particular Wednesday, marking the largest daily influx since the inception of Ethereum ETFs. The net inflow of Ethereum into BlackRock's ETF exceeded that of Bitcoin for the first time on July 9, with a net inflow of $546 million. This trend indicates that more institutions are bullish on Ethereum's prospects and are allocating their capital accordingly.

The shift towards Ethereum is also evident in the actions of listed companies. For instance, SharpLink Gaming and Bit Digital have been accumulating Ethereum, with the latter purchasing 5,188 Ethereum through Coinbase Prime on July 16. This purchase was valued at approximately $15.86 million, bringing the total cumulative purchase to 300,000 Ethereum since early June. The average purchase price was about $2,701, resulting in a current floating profit of $130 million. Similarly, Bitmine Immersion Technologies allocated $250 million last week for Ethereum investments.

The bullish sentiment towards Ethereum is further supported by the potential for government acquisition. The state of Texas in the United States signed a bill to establish a virtual currency reserve, which includes Bitcoin and other cryptocurrencies. If Ethereum's market cap exceeds $500 billion, it may become the second cryptocurrency to be acquired by the U.S. government. This potential acquisition, along with the increasing interest from listed companies and institutional funds, is driving the bullish sentiment in the market.

In conclusion, the surge in Ethereum spot ETFs surpassing Bitcoin ETFs for the first time in history is a testament to Ethereum's growing appeal among institutional investors. The real-world utility of Ethereum, its role in the tokenization of RWA, and the regulatory compliance of stablecoins have all contributed to this shift. As more institutions and listed companies allocate their capital to Ethereum, the bullish sentiment in the market is likely to continue.