Bullish on Ether? ETF Traders Temper Expectations for Day-One Inflows

Bullish on Ether? ETF Traders Temper Expectations for Day-One Inflows

Fireblocks Executive: Similar to Bitcoin, Ether Spot ETF Unlikely to Immediate Surge Stephen Richardson, head of institutional at crypto custodian Fireblocks, has expressed doubts that an Ethereum (ETH) spot exchange-traded fund (ETF) will replicate the remarkable success of its Bitcoin counterpart. In an interview with Cointelegraph, Richardson explained that "an Ethereum (ETH) spot ETF is unlikely to see the same level of day-one inflows as a Bitcoin spot ETF." Richardson pointed to the lack of established valuation metrics for ETH as a key reason for his skepticism. While Bitcoin has a long history as a store of value, Ethereum's utility as a platform for decentralized applications introduces additional complexity in determining its price. Despite the tempered expectations, the potential launch of an ETH spot ETF has generated significant interest among investors. A report from JPMorgan estimated that an ETH ETF could attract inflows of $25 billion in its first year of trading. However, Richardson believes that such predictions are overly optimistic, forecasting inflows of only 1% to 20%. The views expressed by Richardson align with previous sentiments shared by industry experts. JPMorgan and 10x Research have also cautioned that an ETH spot ETF may not experience the same level of inflows as the Bitcoin ETF.