Arrangement: Fairy, ChainCatcher
Editor: Marco, ChainCatcher
Last week, the overall crypto ETF market performed strongly, with continued net inflows into US Bitcoin spot ETFs and net subscriptions into Hong Kong virtual asset ETFs. Ethereum spot ETF issuers have submitted S-1 filing updates and preliminarily disclosed management fees. Industry KOLs generally believe that the Ethereum ETF will be approved this week.
Crypto Spot ETF Performance Last Week
US Bitcoin spot ETF continues to see net inflows
Last week, U.S. Bitcoin spot ETFs have been in a state of net inflows, with a total inflow of US$1.047 billion and a total net asset increase of US$2.02 billion.
According to HODL15Capital data, as of July 12, the US Bitcoin spot ETF held 888,600 BTC, and 39 funds increased their holdings to 1.05 million BTC, both of which hit record highs. This shows that institutional investors are actively increasing their Bitcoin holdings, possibly for bargain hunting considerations.
Source: SoSoValue
Among them, the BlackRock ETF IBIT had the largest net inflow last week, with a net inflow of $522 million and a net asset value of $18.26 billion, followed by the Fidelity ETF FBTC, with a net inflow of $358 million and a net asset value of $10.24 billion. Only the Grayscale ETF GBTC was in a state of net outflow, with a net outflow of $35.3 million, but the outflow was less than the previous week.
Source: Farside Investors
Hong Kong crypto spot ETF shows net subscription status
Hong Kong ETH and BTC spot ETFs both showed net subscriptions, indicating that the Hong Kong market's confidence and interest in Bitcoin are recovering. The total subscription of Hong Kong BTC ETF last week was 947.27 BTC, of which the subscription on July 12 (Friday) was the highest level except for the first day. Its total Bitcoin holdings increased by 810 and total assets increased by US$51.91 million. As of last Friday, the total Bitcoin holdings of issuer Huaxia and Bosera were similar, with a difference of only US$600,000 in the total net asset value of Bitcoin between the two. In contrast, Harvest holds a smaller total of 741 Bitcoins.
The total subscription volume of Hong Kong ETH ETF last week was 156.81 ETH, and it was in a zero subscription state from Monday to Thursday. Its total assets increased by US$2.52 million.
Source: SoSoValue
Note: Daily BTC subscription volume = [Daily shares - Yesterday shares] * Daily net asset value / CME CF Bitcoin Index (Asia Pacific closing price)
An overview of crypto ETF activity last week
Ethereum Spot ETF
On July 8, Ethereum spot ETF issuers such as VanEck, 21Shares, BlackRock, and Fidelity have submitted S-1 filing updates.
Among them, Invesco Galaxy's Ethereum spot ETF will charge investors a management fee of 0.25%, Franklin Templeton will set its fee at 0.19%, VanEck will waive the fees of its spot Ethereum ETF at the beginning, and Grayscale, 21Shares, and BlackRock have not yet set fees.
Analysts believe that management fees are used by issuers to pay for fund maintenance costs such as marketing expenses, salaries and custody services. Most Bitcoin spot ETF issuers choose rates between 0.19% and 0.30%, and Ethereum ETF issuers may do the same.
Sources said Ethereum ETF issuers are waiting for details from the SEC on final documents. The SEC has provided multiple rounds of comments for issuers to revise their S-1 forms, each of which takes several weeks.
“The SEC is continuing its review and we appear to be getting closer to final approval,” said a source at one issuer. “We expect one more final filing, but the timing is unclear.”
In addition, BlackRock has submitted an Ethereum spot ETF securities registration application (Form 8-A12B) to the U.S. SEC. The submission of the Form 8-A document means that the issuer can trade on the exchange once the product is approved, and it also marks progress in the potential approval of the Ethereum spot ETF.
SOL Spot ETF
According to BITCOINLFG, sources said BlackRock may apply for SOL ETF in July.
New Crypto ETFs
T-Rex launches 2x leveraged long and short spot Bitcoin ETF on July 10
YieldMax Launches Short Coinbase Stock Options Strategy ETF
DigitalX to List Bitcoin ETF on Australian Stock Exchange on July 12
Opinions and analysis on crypto ETFs
The ETF Store President: Still believes that the US SEC will approve the S-1 application for the Ethereum spot ETF next week
Nate Geraci, president of The ETF Store, posted on social media that the SEC seems to be going through a "holding breath" phase similar to the one before the 19b-4 application is approved, but he still believes that the SEC will approve the S-1 application for the ETH spot ETF next week and there is no reason to delay.
In response, Bloomberg analyst Eric Balchunas said that every issuer is ready and the documents are ready, and things may move quickly next week.
Bloomberg Senior ETF Analyst: Solana ETF may be approved in mid-March 2025
Eric Balchunas, senior ETF analyst at Bloomberg, explained on social media platform X on Wednesday that it looks like the final deadline for the Solana ETF is mid-March 2025. But between now and then, the most important date is November. If Biden wins, these ETFs will likely be eliminated. If Trump wins, anything is possible.
Bloomberg ETF Analyst: US SEC May Approve Spot Ethereum ETF on July 18
Bloomberg ETF analyst Eric Balchunas predicts that the U.S. SEC may approve a spot Ethereum ETF on July 18.
Bitwise CCO: Ethereum ETF is about to be approved, and the US SEC is open to discussions on other products
According to CryptoSlate, Bitwise Chief Compliance Officer Katherine Dowling said that the Ethereum ETF is about to be approved.
Dowling mentioned in an interview with Bloomberg that the SEC is open to discussions on other products and expects to approve a spot ETH ETF this summer. She pointed out that Bitwise, as an expert in the crypto field, hopes to stand out among giants such as BlackRock and Fidelity. In addition, although the SEC is positive about new products, some products may need to be approved after the new chairman takes office.
Matrixport: Ethereum (ETH) futures positions show a bullish trend, which may indicate that the Ethereum ETF will be approved soon
Matrixport published a post stating that Ethereum (ETH) futures positions showed a bullish trend, and despite the price correction, ETH futures long positions increased from 2.7 million ETH to 3.1 million ETH since the market rose on May 20. This shows that futures traders expect the Ethereum ETF to be approved soon.
Even if spot prices don’t reflect this sentiment yet, market sentiment remains bullish and there may not be a “sell the news” event this time around.
