Biggest Growth in Institutional Inflows to Cryptocurrency in 2022, Surpassing 2021 Records ๐
According to CoinShares, institutional investments in cryptocurrency products hit record levels last week, driving inflows to their highest-ever year-to-date figures.
Institutional Investments Soar ๐
- CoinShares reports that digital asset investment products attracted $646 million in inflows last week.
- The total inflows year-to-date reached a new peak at $13.8 billion, exceeding the $10.6 billion recorded in 2021.
Decrease from ETF Hype ๐
- Although inflows are robust, they are lower than they were in March when Bitcoin ETF excitement peaked, indicating a possible decline in ETF interest.
- Trading volumes have also dipped from $43 billion to $17.4 billion since early March.
Global Sentiments Vary ๐
- While the US witnessed inflows of $648 million, countries like Brazil, Hong Kong, and Germany also saw inflows of $10 million, $9 million, and $9.6 million, respectively.
- On the contrary, Switzerland and Canada experienced outflows of $27 million and $7.3 million, respectively.
Asset Breakdown ๐
- Bitcoin dominated the inflows with $663 million.
- Litecoin, Solana, and Filecoin received inflows of $4.4 million, $4 million, and $1.4 million, respectively.
- However, Ethereum investment products faced outflows for the fourth consecutive week, totaling $22.5 million.
Hot Take: Crypto Investment Trends ๐
Digital asset manager CoinShares recently reported a surge in institutional investments in cryptocurrency products, with inflows hitting unprecedented levels in 2022. Despite a slight decline from the hype surrounding Bitcoin ETFs, the overall sentiment remains positive as investors continue to flock to the crypto market.
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