One year later: Ethereum ETPs prove their staying power

One year ago, Ethereum embarked on a transformative journey into the realm of institutional finance with the launch of its first spot Ethereum ETPs in the U.S. Fast forward twelve months, and these products have become some of the most successful ETP launches of all time, amassing over $5 billion in net flows, and representing 60% of the global Ethereum ETP market share. This remarkable growth signals a pivotal moment: Ethereum is here to stay, solidifying itself as a cornerstone asset in the evolving landscape of investment portfolios.

Since the global debut of Ethereum ETPs in 2017, the category has attracted over $9.7 billion in net inflows. After a sluggish start, demand has surged, rivaling the early success of Bitcoin ETFs and outpacing most sector ETFs this year, except for Utilities and Tech, with $2.95 billion of net flows. July 2025 is set to represent a record month for ETH ETPs with over $1 billion in flows, signaling a potential shift in investment strategies and greater diversification within crypto portfolios. This surge in interest has coincided with a sharp rally in the asset itself. As of July 16, 2025, ETH is up over 130% from its April lows during Trump’s “Liberation Day”, and more than 41% month-to-date - reinforcing the growing conviction around Ethereum’s role as both a capital asset and infrastructure layer.

But the appetite for Ethereum goes beyond just passive investments. A growing number of corporate treasuries are now allocating substantial amounts to ETH directly to their balance sheets. Names such as Sharplink Gaming, led by Ethereum co-founder Joe Lubin, and former Bitcoin miner Bitmine, led by a former Chief Equity Strategist at JP Morgan (and tradfi legend), are leading this charge, adding hundreds of millions in ETH. This shift signifies a broader strategic embrace of Ethereum not merely as a digital commodity, but as a programmable yield source and an essential component of the next-gen financial ecosystem.

Meanwhile, the asset itself is looking stronger by the day. Sentiment around Ethereum has quietly but decisively turned a corner. Ethereum’s daily active addresses have consistently remained in the 350k–450k range, keeping up pace with the 2021–2022 bull run and approaching the all-time high of around ~520k. Despite headwinds in network activity earlier this year, this consistent user engagement indicates robust demand and a solid foundation for Ethereum’s growth. While protocol revenue has yet to reach the euphoric heights of past bull runs, it has shown a remarkable resurgence, averaging roughly $1 million per day in revenue, with several days even pushing into eight-figure territory.

Perhaps most importantly is the evolution of the Ethereum ecosystem itself. Recent developments within the Ethereum Foundation and the launch of Etherealize - a new initiative focused on forging institutional partnerships - signal a shift in tone and posture in Ethereum’s strategy. Ethereum isn’t content with being positioned as “ultrasound money”; it’s emerging as the default trust layer for the internet, backed by a revitalized community, cleaner token economics, and renewed institutional interest.

As we mark one year of Ethereum ETPs in the US, their market fit is undeniable. If current trends persist, July 2024 may come to be seen as a meaningful turning point in how the market values Ethereum - not just as a high-growth technology asset, but as a foundational layer of the future of finance.