Ethereum ETFs Dominate Bitcoin Counterparts in Record-Setting Inflows

Ethereum Exchange-Traded Funds (ETFs) have seen significant inflows in September, surpassing Bitcoin ETFs in terms of capital flowing into them. According to a report by Bitfinex Alpha cited by Wu Blockchain, Ethereum ETFs have received a net inflow of $324.4 million so far this month.

This is notable because the asset base of Ethereum ETFs is roughly one-sixth that of Bitcoin ETFs. However, it seems that investors are using Ethereum ETF positions as collateral in futures trading on the CME, which may be driving the interest in these products.

The strategy involves pledging assets as collateral for potential gains from Ethereum staking and a higher base yield offered by Ethereum products compared to Bitcoin.