The approval of Ethereum ETFs in the United States opened a new avenue for traditional investors to gain exposure to Ether (ETH) without the complexities of direct cryptocurrency ownership. By mid-2024, regulators finally greenlit funds that track Ethereum's price and trade on major stock exchanges. This allows investors to participate in Ethereum’s potential growth using familiar brokerage accounts, eliminating the need for private keys or digital wallets.
This guide explores some of the best Ethereum ETF options available and offers practical advice for selecting a fund that aligns with your financial objectives.
Top Ethereum ETF Picks for 2025
The following spot Ethereum ETFs are among the most notable options following U.S. regulatory approvals. Each offers distinct advantages based on fees, custodianship, and the credibility of the issuer.
iShares Ethereum Trust (ETHA)
Key Details:
- Issuer: BlackRock
- Type: Spot ETF
- Exchange: Nasdaq
- Launch Date: July 2024
- Expense Ratio: 0.25% (with a temporary promotional rate of 0.12%)
- Custodian: Coinbase Custody
Overview:
BlackRock’s iShares Ethereum Trust (ETHA) is a prominent spot Ethereum ETF that launched following U.S. regulatory approval. As the world’s largest asset manager, BlackRock provides investors with direct exposure to Ether, which is held in secure cold storage.
The fund attracted significant early interest due to BlackRock's reputation and its competitive introductory pricing. It offers daily NAV updates and high transparency regarding its holdings. With strong liquidity and institutional-grade security, ETHA is a leading choice for U.S. investors.
In Summary:
- Ideal for retirement accounts or platforms that restrict direct crypto purchases.
- Offers low fees combined with high trust and security.
VanEck Ethereum ETF (ETHV)
Key Details:
- Issuer: VanEck
- Type: Spot ETF
- Exchange: Cboe BZX
- Launch Date: July 2024
- Expense Ratio: 0.20% (initially waived)
- Custodian: Gemini Trust Company
Overview:
VanEck’s Ethereum ETF (ETHV) was among the first wave of U.S. spot Ethereum ETFs. The fund holds physical Ether and emphasizes transparency, with regular publishing of market research and educational content for investors.
Gemini Trust Company provides custodial services, ensuring robust security and regulatory compliance. The fund’s low expense ratio and initial fee waiver make it an attractive option for cost-sensitive investors.
In Summary:
- A strong contender for investors focused on low fees.
- Well-suited for tax-advantaged investment accounts.
Fidelity Ethereum Fund (FETH)
Key Details:
- Issuer: Fidelity Investments
- Type: Spot ETF
- Exchange: NYSE
- Launch Date: July 2024
- Expense Ratio: 0.25%
- Custodian: Fidelity Digital Assets
Overview:
Fidelity’s Ethereum Fund (FETH) offers direct exposure to Ether, stored in institutional-grade cold storage. Backed by one of the largest asset managers in the U.S., this ETF combines brand trust with operational excellence.
It is accessible through most major brokerages and can be held in tax-advantaged accounts like IRAs. The fund provides daily transparency reports and closely tracks Ethereum’s market price.
In Summary:
- An excellent option for existing Fidelity customers.
- High credibility and a strong track record in asset management.
Purpose Ether ETF (ETHH)
Key Details:
- Issuer: Purpose Investments
- Type: Spot ETF
- Exchange: Toronto Stock Exchange (TSX)
- Launch Date: April 2021
- Expense Ratio: ~1.00%
- Custodian: Gemini Trust Company
- Region: Canada
Overview:
The Purpose Ether ETF (ETHH) made history as the world’s first spot Ethereum ETF. It tracks Ethereum’s market price on a near 1:1 basis and stores assets in cold storage.
Although its fee is higher than newer U.S. funds, it reflects its pioneering entry into the market. The fund is regulated under Canadian securities law and has a proven operational history across multiple market cycles.
In Summary:
- Proven stability with several years of live performance data.
- Suitable for Canadian TFSA and RRSP accounts.
21Shares Ethereum ETP (AETH)
Key Details:
- Issuer: 21Shares
- Type: Exchange-Traded Product (ETP)
- Exchange: SIX Swiss Exchange
- Launch Date: March 2019
- Expense Ratio: ~1.49%
- Region: Europe
- Custodian: Coinbase
Overview:
21Shares’ Ethereum ETP (AETH) is one of the earliest Ethereum investment products available globally. It holds physical Ether and is designed for European investors seeking regulated exposure.
While the fee is higher than some alternatives, the product offers convenience, regular audits, and multi-currency trading options across European financial markets.
In Summary:
- Ideal for European investors preferring regulated products.
- Long operational history with a trusted issuer.
CI Galaxy Ethereum ETF (ETHX)
Key Details:
- Issuer: CI Global Asset Management & Galaxy Digital
- Type: Spot ETF
- Exchange: Toronto Stock Exchange (TSX)
- Launch Date: April 2021
- Expense Ratio: 0.40%
- Region: Canada
- Custodians: Gemini, Galaxy Digital
Overview:
ETHX is a collaborative effort between a traditional asset manager and a crypto-native firm. It offers spot Ether exposure with a focus on security and low fees.
Trading in both CAD and USD, this ETF is accessible within registered Canadian accounts. Its structure combines compliance rigor with blockchain expertise.
In Summary:
- Lower fees than many international competitors.
- Supported by both traditional finance and crypto expertise.
Bitwise Ethereum ETF (ETHW)
Key Details:
- Issuer: Bitwise Asset Management
- Type: Spot ETF
- Exchange: U.S. exchanges
- Launch Date: July 2024
- Expense Ratio: 0.20%
- Custodian: Coinbase
Overview:
Bitwise’s Ethereum ETF (ETHW) is designed for direct exposure to Ether’s price. The fund is known for its transparency, daily NAV updates, and educational resources for investors.
Though less branded than some competitors, Bitwise has established credibility within the crypto community. This fund appeals to those who value detailed market insights alongside their investment.
In Summary:
- A low-cost, research-oriented option.
- Best for investors who want additional market context.
Comparison of Leading Ethereum ETFs
| Fund Name | Type | Issuer | Expense Ratio | Listing Region | Launch Date |
|---|---|---|---|---|---|
| iShares Ethereum Trust (ETHA) | Spot ETF | BlackRock | 0.25% (0.12% promo) | U.S. | July 2024 |
| VanEck Ethereum ETF (ETHV) | Spot ETF | VanEck | 0.20% (waived) | U.S. | July 2024 |
| Fidelity Ethereum Fund (FETH) | Spot ETF | Fidelity Investments | 0.25% | U.S. | July 2024 |
| Purpose Ether ETF (ETHH) | Spot ETF | Purpose Investments | ~1.00% | Canada | April 2021 |
| 21Shares Ethereum ETP (AETH) | Spot ETP | 21Shares | ~1.49% | Europe | March 2019 |
| CI Galaxy Ethereum ETF (ETHX) | Spot ETF | CI Global AM & Galaxy Digital | 0.40% | Canada | April 2021 |
| Bitwise Ethereum ETF (ETHW) | Spot ETF | Bitwise Asset Management | 0.20% | U.S. | July 2024 |
How to Select the Right Ethereum ETF for Your Goals
While all Ethereum ETFs aim to track the price of Ether, key differences can impact your investment outcomes. Here’s what to consider when choosing a fund.
Understand the Structure: Spot vs. Futures
For long-term investors, spot Ethereum ETFs are generally preferable. These funds hold actual Ether and typically offer more accurate price tracking and lower costs.
Futures-based ETFs use derivative contracts and may involve higher fees and tracking errors. They can be an alternative in regions where spot ETFs are unavailable, but they come with added complexity.
Evaluate the Total Cost
Many U.S. spot Ethereum ETFs launched with promotional fee waivers. Once these expire, annual fees usually range between 0.20% and 0.25%. Older Canadian and European funds often charge higher fees, which can significantly impact returns over time. Always compare the total cost of ownership between similar funds.
Consider the Issuer’s Reputation
The credibility and experience of the ETF issuer matter. Established firms like BlackRock and Fidelity offer strong operational security and partner with top-tier custodians. Larger funds also tend to have higher liquidity, reducing trading costs.
Check Accessibility and Compatibility
Ensure the ETF is available in your region and through your brokerage account. Some retirement accounts or advisory services may have restrictions on crypto-related investments. Verify these details before investing.
Review Tax Implications
Ethereum ETFs can simplify tax reporting compared to holding crypto directly. However, tax treatment varies by country and account type. In the U.S., ETFs are subject to capital gains tax, while Canadian registered accounts can offer tax shelters. Consult a tax professional for personalized advice.
What Are Ethereum ETFs and Why Do They Matter?
An Ethereum ETF is a regulated investment fund that tracks the price of Ether. It allows investors to gain exposure to Ethereum’s performance without buying, storing, or managing the cryptocurrency themselves.
Spot ETFs hold physical Ether in secure custody, while futures-based ETFs use derivatives. Spot funds are generally more efficient and transparent. The approval of these products in the U.S. in 2024 marked a significant milestone, making Ethereum accessible to a broader range of investors through conventional platforms.
This development enables easier inclusion of Ethereum in retirement portfolios and offers a regulated, secure alternative to direct crypto ownership.
The Path to U.S. Ethereum ETF Approval
The journey to U.S. spot Ethereum ETF approval was lengthy. The SEC initially expressed concerns over market manipulation and custody risks, leading to delays. Futures-based Ethereum ETFs were approved in late 2023 as an interim solution.
The landscape changed in early 2024 with the approval of spot Bitcoin ETFs, which set a precedent. By mid-2024, the SEC approved several spot Ethereum ETFs, with trading commencing in July. Major asset managers, including BlackRock, Fidelity, and VanEck, launched funds, fostering competition and driving down fees.
This regulatory shift allowed investors to access Ethereum through traditional stock exchanges, reducing barriers to entry.
Global Ethereum ETF Markets
While the U.S. was a latecomer, other regions embraced Ethereum ETFs earlier. Canada approved the first spot Ether ETFs in 2021, including the Purpose Ether ETF (ETHH) and CI Galaxy Ethereum ETF (ETHX).
In Europe, products like the 21Shares Ethereum ETP (AETH) have been available since 2019. These funds trade on regulated exchanges and cater to local investors. Today, Ethereum ETFs are accessible in multiple global markets, each shaped by regional regulations.
How Ethereum ETFs Are Transforming Investment Strategies
The introduction of Ethereum ETFs has democratized access to cryptocurrency investing. These funds provide a simple, regulated, and cost-effective way to gain exposure to Ethereum, making it possible for a wider audience to include digital assets in their portfolios.
When selecting an ETF, prioritize factors like fees, issuer credibility, and compatibility with your investment accounts. 👉 Explore more investment strategies to diversify your portfolio effectively.
Frequently Asked Questions
What is a spot Ethereum ETF?
A spot Ethereum ETF is a regulated fund that holds actual Ether tokens. Its shares trade on traditional stock exchanges and reflect the market price of Ethereum, allowing investors to gain exposure without managing private keys.
Are spot Ethereum ETFs available in the U.S.?
Yes, the U.S. Securities and Exchange Commission approved multiple spot Ethereum ETFs in July 2024. These are listed on major exchanges like the NYSE and Nasdaq and can be bought through standard brokerage accounts.
What are the advantages of investing in an Ethereum ETF?
Ethereum ETFs offer a secure and regulated way to gain exposure to Ethereum without the technical challenges of direct ownership. They provide transparent pricing, institutional custody, and ease of use within existing investment accounts.
How do international Ethereum ETFs differ from U.S. options?
International ETFs, such as those in Canada or Europe, often launched earlier but may have higher fees and lower liquidity than U.S. funds. Availability depends on the investor’s location and brokerage capabilities.
What should I look for when comparing Ethereum ETFs?
Key factors include the expense ratio, the issuer’s reputation, the fund’s structure (spot or futures), and its compatibility with your investment accounts and regional regulations.
Can I hold an Ethereum ETF in a retirement account?
In many cases, yes. U.S.-listed ETFs can typically be held in IRAs, and Canadian ETFs are eligible for registered accounts like TFSAs and RRSPs. Always confirm with your brokerage or financial advisor.