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Ethereum ETFs See Near-$1 Billion Weekly Outflows as Bitcoin Funds Draw Inflows

Analysts say the ETFs’ inability to earn staking rewards is discouraging holders during volatility.

Overview

  • CoinShares reports $912 million left ether investment products for the week ending Sept. 6, the steepest pullback among major crypto assets.
  • Daily trackers show U.S. spot ETH ETFs shed roughly $788 million to $952 million from Aug. 29 to Sept. 5, including a $446.8 million single-day outflow on Sept. 5.
  • Bitcoin-focused funds took in $524 million for the week, pointing to a rotation toward lower-beta exposure as ETH products saw redemptions.
  • Industrywide, digital-asset products saw $352 million in weekly outflows and a 27% drop in trading volumes, with the U.S. accounting for $440 million of redemptions.
  • Fund-level flows were uneven, with Grayscale’s ETHE logging a $309.9 million single-day exit and lower-fee rivals absorbing creations earlier in the week, while SEC decisions on potential ETF staking remain pending.