Crypto Fund Inflows Surge to Over $1 Billion in 2022
Crypto fund inflows at asset managers such as CoinShares, 21Shares, Bitwise, Grayscale, and ProShares have surpassed $1 billion for the year, with an additional $293 million added in a seven-week run of inflows, according to CoinShares’ latest report.
Year-to-date inflows now stand at $1.14 billion, making it the third-highest yearly inflow on record. Total assets under management have increased by 9.6% over the last week and 99% since the beginning of the year, according to CoinShares’ Head of Research James Butterfill. The total assets under management amount to $44.3 billion, which is the highest since the major crypto fund failures in May 2022.
Bitcoin investment products led the surge with $240 million of inflows, while short Bitcoin products saw outflows of $7 million, indicating continued positive sentiment. Bitcoin ETPs made up nearly 20% of total bitcoin trading volume last week, suggesting increased participation from ETP investors compared to previous years.
BlackRock’s Ethereum Filings and Solana’s Significant Move
During a week where BlackRock filed to register an Ethereum Trust entity in Delaware and Nasdaq filed for BlackRock’s proposed spot ether ETF, ether-based products saw their largest inflows since August 2022, adding $49 million. This follows $17.5 million worth of inflows in the prior week, signaling a turnaround in sentiment.
Solana-based funds also witnessed significant inflows of $12.4 million in a week where the crypto asset rose over 40% to peak at around $62, according to The Block’s price data. Solana currently trades around $57. Bitcoin and ether gained approximately 4.5% and 7.6% over the last week and currently trade at $36,693 and $2,042, respectively.
Regional Trends and Blockchain Equity ETFs
Canada, the U.S., Germany, and Switzerland led the flows with contributions of $105.7 million, $81.1 million, $52.9 million, and $50.3 million, respectively. Additionally, blockchain equity ETFs saw their largest inflows since July 2022 amounting to $14 million and bringing net flows to a positive $11 million for the year.
Hot Take: Crypto Fund Inflows Continue to Soar
The surge in crypto fund inflows demonstrates sustained investor confidence and interest in digital assets such as Bitcoin and Ethereum. With record-breaking yearly inflows and significant movements in major cryptocurrencies like Solana, it’s clear that the crypto market remains dynamic and attractive for investors looking to diversify their portfolios.
By
By
By
By
By