ETF Central's Spot Ethereum ETFs Roundtable

NYSE-listed spot Ethereum ETFs

As "The Home of ETFs," the NYSE currently lists some of the biggest and most notable spot Ethereum ETFs, all of which hail from dedicated digital asset managers with a long track record in the space.

First up is a duo from Grayscale: the Grayscale Ethereum Trust

and the Grayscale Ethereum Mini Trust

ETH

-0.08%

. The former is the larger and more established one, with $9.2 billion in AUM and an inception date of December 14, 2017, owing to its prior history as a closed-ended trust.

It is pricey with a 2.5% expense ratio, though, so to address this, Grayscale has launched a companion fund in the form of ETH—kudos to them for securing that ticker symbol!

ETH is literally the ETF spin-off of ETHE. If you were a shareholder of ETHE as of the record date July 18, 2024, you should be receiving shares of ETH over the next few days.

It's significantly cheaper, with a 0.15% sponsor fee waived for six months down to 0% for the first $2 billion in AUM. It also trades at a lower share price compared to ETHE, making it easier to size positions.

Finally, we have ETHW

from Bitwise, and in line with the firm's commitment to the decentralized philosophy of cryptocurrency, it has some unique quirks.

Notably, the ETF discloses ENS addresses for its holdings. This feature allows them to reduce complicated Ethereum addresses into easy-to-remember names ending in ".eth." For ETHW, there are five unique addresses ending with ethw.bitwise.eth.

Why is this important? It allows the public to verify the ETF's holdings and flows. Also, Bitwise is being charitable—donating 10% of profits from ETHW to the Protocol Guild and PBS Foundation, which funds open-source Ethereum research and development.

As for the ETF itself, it's the usual spot Ethereum ETF, with a 0.2% sponsor fee. As with the Grayscale funds, Bitwise is implementing a waiver on the first $500 million of AUM to 0% for a six-month period.

Cboe-listed spot Ethereum ETFs

The Cboe boasts the largest lineup of spot Ethereum ETFs with a total of five options, many of which hail from traditional asset managers:

• Invesco Galaxy Ethereum ETF (QETH): This ETF has a 0.25% expense ratio and is managed by the well-regarded team at Invesco in collaboration with Galaxy Digital.
• 21Shares Core Ethereum ETF (CETH): With a 0.21% expense ratio, 21Shares is also offering a six-month waiver on fees, bringing the expense ratio down to 0% for the first $500 million in AUM.
• Fidelity Ethereum Fund (FETH): Fidelity is entering the Ethereum space with a competitive offering, charging a 0.25% expense ratio. This fee is waived until at least December 31, 2024, with no restrictions on the AUM limit for this discount.
• Franklin Ethereum ETF (EZET): Franklin Templeton's ETF comes with a 0.19% expense ratio, which is waived to 0% until January 21, 2025, for the first $10 billion in AUM.
• VanEck Ethereum ETF (ETHV): VanEck offers this ETF with a 0.20% expense ratio, waived to 0% for one year for the first $1.5 billion in AUM.

Nasdaq-listed spot Ethereum ETFs

The Nasdaq exchange currently lists one spot Ethereum ETF, albeit an important and competitive one, in the form of the iShares Ethereum Trust ETF

.

iShares, known for its robust brand name and extensive ETF lineup, has already demonstrated impressive growth with its earlier spot Bitcoin ETF.

The success of that ETF, driven by strong institutional recognition, sets a high expectation for ETHA. In fact, ETHA is off to a strong start, amassing just over $10 million in AUM on its first day of trading.

ETHA charges a 0.25% sponsor fee, which is competitive within the market. To attract initial investors, iShares is implementing a fee waiver. For the first 12 months from launch, the fee will be reduced to 0.12% on the first $2.5 billion in AUM.

Please note this article is for information purposes only and does not in any way constitute investment advice. It is essential that you seek advice from a registered financial professional prior to making any investment decision.