Spot Ethereum ETF fund inflows hit a new high, cumulatively surpassing 4 billion USD.

The US Spot Ethereum ETF market has seen significant growth recently. As of June 23, the cumulative net inflow of funds for these products has exceeded $4 billion, achieving this milestone in just 11 months.

These ETF products were first launched on July 23 last year. After 216 trading days, by May 30, their cumulative net inflow had reached $3 billion. Surprisingly, in just the following 15 trading days, this number increased by an additional $1 billion, bringing the total net subscription amount to $4.01 billion as of the market close on June 23.

It is worth noting that although these short 15 trading days only account for 6.5% of the total trading history, they have contributed to a quarter of all the funds invested so far. This astonishing growth rate highlights the strong interest in Ethereum ETF products in the market.

Among the main products driving this growth, a certain ETF trust leads with a total inflow of $5.31 billion, another large asset management company's ETF product contributed $1.65 billion, while a certain blockchain investment company's product saw an increase of $346 million.

At the same time, a traditional trust fund (converted to an ETF when the new ETF was launched) recorded an outflow of $4.28 billion during the same period. This ebb and flow reflects a clear shift in investor preferences.

Daily capital flow data further supports this trend. For example, on June 11, a certain ETF trust attracted over $160 million in funds in a single day. Between May 30 and June 23, this trust had five trading days where single-day capital inflows exceeded $100 million. Meanwhile, the redemption pace of traditional trust funds has slowed down, which has also contributed to a significant increase in overall capital inflows.

Most newly launched ETF products charge a management fee of 0.25%, which is on par with the industry median and far below the 2.5% rate of some traditional trust funds. According to a report from a cryptocurrency investment firm, lower costs combined with mature primary market relationships continue to direct funds to several major asset management companies.

The report reveals three key factors driving the surge in funds in June through conversations with brokers configured with wealth manager representatives: first, the rebound of ETH prices relative to BTC; second, clearer guidance from U.S. tax authorities on staking income in certain ETFs; and finally, large-scale rebalancing orders from multi-asset allocators, who view Ethereum as an extension of their portfolios rather than an independent speculative bet.

The next quarterly 13F filing deadline in mid-July will reveal whether professional investment managers have joined this wave of capital inflow. As of March 31, these firms accounted for less than 33% of the assets in Spot Ether ETFs, indicating that there is still significant room for broad participation from institutional investors even as retail funds concentrate on low-fee instruments.

Overall, the rapid growth of the Spot Ethereum ETF market reflects investors' ongoing confidence in Ethereum and its ecosystem. With more institutional investors likely to join, this trend is expected to maintain strong momentum in the future.