The venture unit of Chicago-based high-frequency trading firm DRW Holdings disclosed it now holds at least over $195 million worth of crypto exchange-traded funds, including over $150 million in the Grayscale Ethereum Trust, representing what is likely its first time taking exposure to 
ETH +1.17% , according to its latest Form 13F filing with the U.S. Securities and Exchange Commission.
The SEC approved the first traunch of spot ether ETFs to begin trading in July, approximately six months after spot bitcoin ETFs went live. And while spot bitcoin ETFs have earned billions of dollars in net inflows — due to a mix of institutions and retail traders — Ethereum-based funds have yet to garner as much interest.
DRW’s entry into the ETH ETF market may signal a growing institutional appetite for the second-largest cryptocurrency by market capitalization. The firm holds over three times the amount of ETH ETFs than 
BTC +3.33% ETFs — in fact, the Grayscale ETHE vehicle represents its third largest holding, following a fund tracking the S&P 500 and gold trust.
The firm’s exposure to BTC ETFs is also less concentrated among any particular fund. It’s holding bitcoin products issued by Ark and 21Shares, Bitwise, BlackRock, Fidelity and Proshares, the latter of which is its largest bitcoin-centric holding.
DRW has become increasingly involved in the cryptocurrency industry since at least 2018. Its crypto-focused market-making unit Cumberland, for instance, has been tapped as a liquidity provider for a number of bitcoin ETFs. Cumberland also recently won approval for a “BitLicense” from the New York State Department of Financial Services.
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