- BlackRock’s $426M Ethereum ETF buy shows big investors are getting serious about ETH, pushing total fund inflows to $8.32B.
- Ethereum’s lead in tokenized assets and Robinhood’s stock launch on Arbitrum are boosting ETH’s role in real-world finance.
- Experts say staking features in ETFs could soon let institutions earn yield on ETH while keeping their investments liquid.
Ethereum ETFs are seeing explosive growth as BlackRock’s spot Ethereum ETF recorded $426.2 million in inflows on July 22. This marked the third-highest daily haul since its launch, signaling deepening institutional conviction in Ethereum. The total daily net inflow across Ethereum ETFs hit $533.87 million. That pushed cumulative inflows to $8.32 billion, while total assets under management reached $19.85 billion—roughly 4.44% of Ethereum’s market cap.
Source: Sosovalue
Besides BlackRock, several other ETFs saw notable action. Fidelity’s FETH gained $35.01 million in inflows and traded at a 0.59% premium. Meanwhile, VanEck’s ETHV and Franklin’s EZET held neutral positions, recording no net movement. However, Grayscale’s ETHE, despite its $4.21 billion asset base, saw $30.09 million in outflows. The broader Ethereum ETF market showed mixed but maturing dynamics.
Tokenization Fuels Ethereum’s Institutional Surge
Much of this institutional momentum comes from Ethereum’s dominance in tokenized assets. Over 55% of all tokenized products use Ethereum’s blockchain. BlackRock, JPMorgan, and Visa are already leveraging Ethereum for treasuries, commercial paper, and equity infrastructure. Additionally, Robinhood’s move to offer tokenized stocks on Arbitrum has boosted confidence in Ethereum as the base layer for real-world assets.
Moreover, these developments are not just hype. Katherine Wu of ENS Labs said over $6.5 billion has flowed into Ethereum ETFs in the past year. That includes $2 billion in just the last week. Wu said these inflows show institutions are no longer just watching—they’re allocating capital at scale.
Staking and Yield Could Redefine ETF Models
The next step for Ethereum ETFs may involve staking rewards. Kean Gilbert of Lido DAO explained that ETFs might soon integrate staking while offering liquidity. However, European regulations still limit staking exposure in ETFs. That said, the U.S. could soon issue clearer rules for staking within ETFs.
Consequently, tokenized staking products like stETH may help bridge this gap. These would offer both yield and redemption liquidity to institutional investors. Hence, Ethereum continues to cement its role as the backbone of institutional crypto finance.
