BlackRock, the world’s largest asset manager, has launched its Ethereum exchange-traded fund (ETF) in Brazil, expanding its cryptocurrency offerings in a region known for its growing interest in digital assets. The new fund, trading under the ticker ETHA39, is available on Brazil’s B3 stock exchange and provides both retail and institutional investors a way to gain exposure to Ethereum, the second-largest cryptocurrency by market capitalization. Introduced on August 28, 2024, the Ethereum ETF takes the form of a Brazilian Depositary Receipt (BDR), representing shares of BlackRock’s Ethereum Trust in the United States, and allows for local trading.
BlackRock has set the initial trading price for ETHA39 to range between R$40 and R$50, representing approximately one-third of the original asset’s value. To attract early investors, BlackRock has halved the management fee to 0.12% for the first year or until the fund accumulates $2.5 billion in assets under management. Afterward, the fee will revert to 0.25% per year, consistent with similar funds in the U.S.
This move follows the successful launch of BlackRock’s Bitcoin ETF in Brazil earlier this year, which saw significant interest from investors. The company’s director in Brazil, Cristiano Castro, highlighted that the launch of the Ethereum ETF is a response to the growing demand for crypto-related products in the country.
He noted that the iShares Bitcoin Trust quickly became one of the fastest-growing ETFs in history, underscoring the strong appetite for digital assets among Brazilian investors. Brazil has emerged as a key market for cryptocurrency investments, with nearly 180,000 investors holding crypto products worth approximately R$5.5 billion. The introduction of BlackRock’s Ethereum ETF brings the total number of crypto-linked ETFs or BDRs available in the country to 15. This development further solidifies Brazil’s position as a significant player in the global crypto market, providing investors with more options to diversify their portfolios with digital assets.
