Grayscale Ethereum Trust Reports 28% Increase in Net Assets to $2.84 Billion

Grayscale Ethereum Trust ETF has reported significant financial developments in its latest 10-Q filing for the quarter ending June 30, 2025. The Trust's net assets stood at $2.84 billion, reflecting a 28% increase from the previous quarter, driven primarily by a rise in the price of Ether, which appreciated from $1,827.33 to $2,516.23 during the period. The Trust recorded a net increase in net assets resulting from operations of $754.4 million for the three months ended June 30, 2025, compared to a net decrease of $695.3 million in the same period last year. However, for the six months ending June 30, 2025, the Trust experienced a net decrease in net assets of $1.23 billion, attributed to a decline in Ether prices over the period.

The Trust's operational metrics indicate a notable shift in its share structure. As of June 30, 2025, the number of shares outstanding decreased to 136.15 million from 169.1 million at the end of 2024, with 12.92 million shares redeemed during the quarter. The Trust issued 3.04 million shares in the same period, resulting in a net decrease of 9.88 million shares. The principal market NAV per share was reported at $20.84, down from $28.01 at the end of 2024, reflecting the volatility in Ether prices.

Strategically, the Trust has undergone significant organizational changes, including a reorganization that took place on January 1, 2025, when Grayscale Investments, LLC merged with Grayscale Operating, LLC. This merger resulted in GSO becoming the surviving entity and subsequently led to GSIS assuming the role of the sole sponsor of the Trust. The Trust also initiated a redemption program in July 2024, which has contributed to its operational flexibility and market responsiveness.

In terms of operational performance, the Trust's investment in Ether decreased from approximately 1.42 million Ether at the end of 2024 to 1.13 million Ether by June 30, 2025. The Trust's investment income remained at zero, with expenses primarily related to the Sponsor's fee, which totaled $15.65 million for the quarter. The Trust's management has indicated that the fluctuations in Ether prices and the overall market conditions will continue to impact its financial performance and operational strategies moving forward.

Looking ahead, the Trust's management remains cautious, acknowledging the inherent risks associated with investing in digital assets like Ether, including market volatility and regulatory uncertainties. The Trust's future performance will largely depend on the price movements of Ether and the effectiveness of its operational strategies in navigating the evolving digital asset landscape.