Spot Ethereum ETFs in the US saw a record $2.08 billion in net inflows in December 2024, marking a significant surge in investor interest. BlackRock and Fidelity led the charge, while Bitcoin ETFs also posted impressive growth in 2024.

In December 2024, U.S. spot Ethereum exchange-traded funds (ETFs) set a new record, with over $2.08 billion in net inflows. This marked a sharp increase from November’s $1 billion, highlighting the growing investor appetite for ether-backed financial products. Data from SoSoValue revealed that the total net inflows for Ethereum ETFs reached $2.6 billion by the end of 2024, pushing the total net assets of these funds to over $12 billion. This represents more than 3% of Ethereum’s overall market capitalisation.

Leading Funds: BlackRock and Fidelity

BlackRock’s iShares Ethereum Trust ETF (ETHA) was the standout performer in December, attracting a whopping $1.4 billion in net inflows. The fund experienced 13 consecutive days of positive contributions, showcasing strong investor confidence. Meanwhile, Fidelity’s Ethereum Fund (FETH) also saw impressive inflows, with $752 million in December alone. Both of these funds were crucial in driving the overall growth in Ethereum ETFs, which benefitted from a brief mid-month price rally that saw Ether briefly surpass $4,000 before returning to around $3,500.

Grayscale and Other Funds Struggled

Despite the overall success of Ethereum ETFs, not all funds enjoyed growth. Grayscale’s Ethereum Trust (ETHE) experienced net outflows of $274 million in December, marking a stark contrast to the performance of its competitors. However, the overall surge in Ethereum ETF inflows highlighted a shift in investor preferences towards more active and diversified financial products backed by Ether, like those offered by BlackRock and Fidelity.

Bitcoin ETFs in 2024: A Strong Year Despite End-of-Year Dip

In contrast to the Ethereum ETF success, U.S. spot Bitcoin ETFs recorded an even higher $4.5 billion in net inflows for December. This came after November’s record-setting $6.4 billion. However, Bitcoin ETFs saw a slight downturn towards the end of the year, with $1.33 billion in outflows since mid-December. Despite this, 2024 was a historic year for Bitcoin ETFs, with total net inflows surpassing $35 billion, far exceeding initial projections.

Among the top Bitcoin funds, BlackRock’s iShares Bitcoin Trust (IBIT) led with $37.31 billion in inflows, followed by Fidelity’s Wise Origin Bitcoin Fund (FBTC) with $11.84 billion. Grayscale’s Bitcoin Mini Trust and ARK’s 21Shares Bitcoin ETF also contributed to the growth, cementing Bitcoin as a dominant player in the ETF space.

2024 Outlook: Ether ETFs Continue to Gain Traction

As we move into 2025, both Bitcoin and Ethereum ETFs are expected to continue to attract substantial investor interest. Ethereum ETFs, in particular, are positioned to benefit from the growing enthusiasm for ether-backed investment products. The continued success of leading funds like BlackRock’s ETHA and Fidelity’s FETH suggests that Ethereum is gaining momentum as an attractive asset class for institutional and retail investors alike.