Ethereum

Canadian ETF Stakes $130M in Ethereum as Institutional Flows Heat Up

3 days ago
Bitcoin Ethereum News

Ethereum’s institutional momentum is heating up. Canadian asset manager CI Global Asset Management just staked $130 million worth of ETH from its ETHX ETF, signaling renewed confidence among big funds, even as global markets remain cautious.

The move, confirmed on-chain, represents around 21% of CI Global’s total $620.61 million ETH holdings, according to data from their Ethereum ETF portfolio.

CI Global’s Bold Move into Staking

The ETHX ETF currently holds approximately $620.61 million in Ethereum. Of that, $130 million is now staked, earning yield through network validation and rewards.

That leaves $490.85 million of unstaked ETH still sitting idle in the ETF.

The big question: Will CI Global stake the rest?

If they do, it would push total staked ETF-held Ethereum to one of the highest levels among traditional funds, potentially influencing yields across liquid staking protocols and DeFi.

This marks a significant shift, not just in ETF strategy but in institutional participation on-chain.

Traditional funds are no longer holding ETH passively. They’re beginning to earn from the network itself

Institutional Ethereum Demand Is Building

CI Global’s move comes amid a wave of institutional ETH accumulation across exchanges.

On-chain data shows large-scale withdrawals from centralized platforms, often the first sign of long-term holding or staking activity.

Over the past 48 hours, roughly $415 million worth of ETH has moved off exchanges tied to institutional wallets.

Tom Lee Reportedly Bought $415M in ETH

The biggest headline of the week:

Tom Lee, co-founder of Fundstrat Global Advisors, reportedly purchased $415 million worth of ETH through two separate entities.

On-chain trackers identified two addresses withdrawing $185 million from Kraken overnight, matching known purchase patterns associated with Bitmine’s institutional flow model.

This comes just a day after another $231.5 million worth of ETH was withdrawn from BitGo wallets. Combined, that’s $415 million in ETH bought over a 48-hour period.

These are not retail moves.

They mirror Bitmine’s historical accumulation strategy, large, timed withdrawals ahead of macro catalysts or liquidity shifts.

$6 Billion in Shorts on the Line

Ethereum’s open interest is now sitting on a knife’s edge.

Analysts estimate around $6 billion worth of ETH shorts could face liquidation if the price pumps just 10% from current levels.

That means a short squeeze could easily propel ETH into its next leg higher, especially with fresh inflows from ETFs and whale wallets.

Add in BlackRock’s latest ETH inflow and Bitmine’s ongoing purchases, and market pressure is clearly building on the short side.

Macro Clouds, But Optimism Grows

Despite the heavy buying, macro sentiment remains the biggest overhang.

The ongoing uncertainty around the U.S.–China trade deal has weighed on risk assets across the board.

Traders are holding their breath for any sign of progress.

“Any indication of a trade breakthrough could send Ethereum flying,” one analyst noted, pointing to the combination of institutional inflows, ETF staking activity, and short exposure as a “perfect storm” setup.

For now, the market remains cautious, but data points are stacking up in favor of a move higher.

Ethereum’s Institutional Cycle Is Underway

This latest wave of ETF staking and whale accumulation signals a clear shift in market structure.

During previous cycles, institutional interest often lagged behind retail. This time, it’s leading.

CI Global’s decision to actively stake ETH shows traditional finance is becoming more comfortable with on-chain yield, treating staking as a legitimate income stream rather than a speculative risk.

That development could have ripple effects across the broader ETF landscape.

If other funds follow suit, billions in idle ETH could transition into active validator participation, effectively reducing circulating supply and strengthening the network’s economic base.

Ethereum’s On-Chain Story Strengthens

Ethereum is now being treated less like a speculative token and more like an on-chain financial asset, one that yields, secures, and compounds.

Institutional staking inflows could amplify ETH’s long-term scarcity dynamics. As more ETH is locked for yield, liquid supply tightens, making price reactions sharper during accumulation waves.

Combine that with short-side risk and upcoming macro catalysts, and Ethereum sits on a high-tension coil that could unwind dramatically in either direction.

For now, $415 million in new institutional ETH buys, $130 million staked by a major ETF, and $6 billion in shorts waiting to be squeezed are setting up one of the most asymmetric setups Ethereum has seen all year.

 The Bottom Line

CI Global Asset Management staked $130M ETH, leaving $490.85M unstaked in their ETF.

Tom Lee and Bitmine-linked addresses withdrew $415M ETH from centralized exchanges.

BlackRock continues to record ETH inflows. $6B in shorts could be liquidated on a 10% price jump. A U.S.–China trade breakthrough remains the macro wildcard. Institutional capital is moving fast.

Ethereum is once again the asset of choice, not for speculation, but for yield, exposure, and network participation.

And if the next 10% move triggers the short cascade analysts expect, we may be watching the early phase of Ethereum’s next institutional leg.

Disclosure: This is not trading or investment advice. Always do your research before buying any cryptocurrency or investing in any services.

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Source: https://nulltx.com/canadian-etf-stakes-130m-in-ethereum-as-institutional-flows-heat-up/