Institutional Investors Flock to BlackRock’s Ethereum ETF, Accumulating Over $3.5 Billion in ETH
2024-12-28
Category: None

The spot ether exchange-traded fund (ETF) launched by the world’s largest asset manager earlier this year now holds a substantial trove of ETH, having recently surpassed one million tokens.
According to data from BlackRock’s website and the Ethereum blockchain — first spotted by Arkham Intelligence — the iShares Ethereum Trust ETF (ETHA) fund now holds 1.065 million ETH worth a market value of over $3.5 billion after seeing significant inflows over the past few weeks, according to CoinGlass data.
The fund is designed to track the price of ether, and allows investors to gain exposure to the cryptocurrency without having to manage their own wallets.
The volume of ETH held by BlackRock’s ETF suggests institutional investor confidence in Ethereum has been growing as they accumulate additional tokens, at a time in which ETH is struggling to surpass the $4,000 mark while bitcoin has briefly rallied past the $100,000 line and is still above $94,000 after a correction.
As CryptoGlobe reported Juan Leon, senior investment strategist at Bitwise Asset Management, believes ether is primed for a significant resurgence in 2025. In a blog post published Dec. 17, Leon argued that ETH, despite being overshadowed in 2024, stands to gain tremendously from the $100 trillion market for real-world assets.
Leon pointed to a pivotal shift occurring in recent weeks. According to Leon, over the past 10 days, spot ether ETFs have attracted $2 billion in net inflows, a stark contrast to the $250 million recorded over the preceding four months. Leon attributes this to renewed investor confidence in Ethereum.
The strategist believes ether’s role in tokenization could generate over $100 billion in annual fees, far outpacing its current earnings. He also sees favorable regulations, particularly from the SEC, as a catalyst for Ethereum’s growth in 2025.
Featured image via Unsplash.