The state of ether fee wars

Getting big sometimes requires cutting fees.

Why it matters: The eight issuers in line to launch those ETFs in the coming days are expected to vie for assets under management by offering the best price.

• (That's often why issuers hold fees close to their chest and show them right before launch, which appears to be the case with the ether folks.)

The big picture: At large, U.S. fund fee declines are decelerating, according to research firm Morningstar's annual study, in part, because there's not much left to cut.

• "Fees of prominent index mutual funds and ETFs are approaching a floor, with many already charging less than 0.05%," the report said.

Between the lines: If spot ether ETF launches resemble their bitcoin brethren's debut, then issuers might lower their fees at least once before launch.

Flashback: When spot bitcoin ETFs started trading on Jan. 11, issuers were duking it out, having already lowered their fee.

• Cathie Wood's Ark Invest, which launched a bitcoin ETF with 21 Shares, adjusted its fee four times since its May 2023 filing, per Morningstar.
• It initially wanted to charge 0.95%, but by January, was offering 0.21%

Zoom in: Franklin Templeton set the bar early at 0.19%, and no one's cut below.

• VanEck is charging 0.20%, and waiving fees for the first $1.5 billion.
• Invesco/Galaxy is charging 0.25%.
• Bitwise, Fidelity, BlackRock's iShares and 21 Shares haven't disclosed.
• Grayscale has also not disclosed fees, but the to-be-converted ether fund charges 2.5%. (The firm lowered fees as GBTC was turned into an ETF, but it probably won't cut dramatically given its filings for mini ETFs.)

What we're watching: Which firm makes the first cut.