Fidelity has amended its spot Ether ETF proposal to include staking to give customers an option to earn income on their holdings. If accepted, the firm will stake an undisclosed portion of its assets using one or multiple reliable staking providers. The news temporarily boosted Lido, a leading Ethereum staking protocol. While this is a seemingly positive development, analysts and betting markets are putting the likelihood of an Ether ETF approval by May at 35% or less.
Tuesday, March 19, 2024Trading volume for Bitcoin ETFs exploded in March, almost tripling February’s $42.2 billion total. BlackRock and Fidelity’s products remain the most popular, with $18 billion and $10 billion in assets under management respectively. Grayscale’s trust-turned-ETF has seen $15 billion in total outflows, declining from about 619,000 BTC to 333,619 BTC.
The SEC has approved eight spot Ethereum ETFs from issuers, including BlackRock, Fidelity, and Grayscale, months after approving spot Bitcoin ETFs. While the approval of the 19b-4 forms marks a significant step, trading will only start after the S-1 statements have been registered, which may take weeks.
Following a week of net outflows, U.S. spot bitcoin ETFs recorded $31 million in net inflows, primarily coming from Fidelity's FBTC and Bitwise's BITB. The inflows occurred as expectations increased around the launch of spot ether ETFs.
TikTok has been spending $20 million a month to purchase OpenAI models through Microsoft. The purchases make up about 25% of Microsoft's AI revenue. TikTok's parent ByteDance is reportedly building its own AI models - if successful, TikTok would no longer need OpenAI or Microsoft. Other companies reportedly purchasing OpenAI models through Microsoft include AT&T, Coca-Cola, Fidelity, Volvo, and Walmart.
BlackRock's spot Ethereum exchange-traded fund (ETF) has achieved a significant milestone, surpassing $1 billion in total asset value just two months after its launch. This achievement comes after a favorable trading week for US-based spot Ethereum ETFs, marking a notable turnaround in investor sentiment. The recent week saw positive net inflows for the first time in several weeks, indicating renewed enthusiasm for Ethereum. The data reveals that US-based spot Ethereum ETFs experienced their highest weekly inflows since early August, reversing a trend of six consecutive weeks of negative outflows. On a particular Friday, these funds recorded inflows totaling $58.7 million, contributing to a net positive inflow of approximately $84.5 million for the week. Notably, Fidelity's FETH fund led the way with $42.5 million in inflows, while BlackRock's ETHA fund added $11.5 million. This surge in investment has positioned BlackRock's fund among the top 20% of over 3,700 ETFs available in the US market. In addition to BlackRock and Fidelity, other funds also saw inflows, including Bitwise's ETHW, Invesco's QETH, and Grayscale's ETH. The overall net asset value of these funds has reached $7.4 billion, the highest level since late August. The recent performance of Ethereum has been bolstered by a rate cut from the Federal Reserve, which has led to a resurgence in optimism among futures traders regarding Ethereum's potential. Transaction fees for Ethereum have also increased, reflecting a rise in blockchain activity. This combination of factors has contributed to a more favorable outlook for Ethereum, particularly as it has outperformed Bitcoin in recent trading sessions. The article emphasizes the independent nature of The Block as a media outlet, providing objective and timely information about the cryptocurrency industry. Zack Abrams, the author of the article, has a background in Web3 media and has previously reported on significant stories in the crypto space. The article concludes with a disclaimer regarding the nature of the information provided, clarifying that it is not intended as financial or investment advice.