CI Galaxy Ethereum ETF (ETHX) has emerged a North America’s largest ETF amassing assets more than double that of its next rival in the market in just four days. Canadian ETFs were launched on 20th April, they are still in their early stage, but investors are already leaning on the side of ETHX and to a lesser extent on the Purpose Ether ETF (ETHH), Evolve’s Ether ETF (ETHR) has started the slowest.
On 23rd April, ETHX had amassed CA$93 million in assets under their management, ETHH accumulated CA$40 million while ETHR amassed CA$8 million. The three ETFs hold the Ethereum blockchain, the native cryptocurrency running on a variety of decentralized applications.
ETHX emerging as position one ETF in North America is a big win for CI Global Asset Management. CI Galaxy Bitcoin ETF (BTCX) was issued by CI Global Asset Management, two weeks after the Purpose Bitcoin ETF (BTCC). However, BTCC is a larger fund holding about CA$ 1.2 billion assets under management while BTCX holds CA$ 103 million and Evolve’s Bitcoin ETF (EBIT) holds assets worth CA$95 million.
CI Global Asset Management’s recent aggressive moves have been made possible by the low fees they charge on the funds. ETHX totally waived the fee until 15th June, outdoing ETHR that waived the fee only through 31st May. ETHX is also a low-cost ETF charging a 0.4 percent management fee. ETHHcharges charges a 1 percent management fee.
The current lead of ETHX in the market is still not clear whether it will continue. The two rivals could catch up, but it will be challenging. This is because the ETF is a low-cost option, also as a large fund, it has a crucial liquidity advantage.
However, crypto-assets like ether are in great demand, it is possible for more than one ETF can thrive in this space. Apart from Canadian investors, the three ETFs are also accessible to foreign investors who have access to international securities.