13th Week Of Inflows For Crypto Funds

Digital asset investment products saw inflows totaling US$151 million last week.

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Head of Research and Investment Strategy
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Reviewed by: James Butterfill
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Edited by: James Butterfill

Takeaways

  • Digital asset investment products saw inflows totalling US$151m last week, the 13th consecutive week of inflows, bringing year-to-date inflows to a record US$9bn.
  • Bitcoin saw the majority of inflows totalling US$98m, pushing AuM to a record US$56bn.
  • Altcoin inflows were led by Cardano, with inflows totalling US$16m last week although we cannot identify a discernible catalyst at this point.
  • Although flows have been positive recently, we have witnessed subdued volumes in 2H, averaging US$750m daily versus US$960m in 1H 2021.

 

 

 

Digital asset investment products saw inflows totalling US$151m last week, the 13th consecutive week of inflows, bringing year-to-date inflows to a record US$9bn. Intra-week prices rises also saw total assets under management (AuM) reach record highs of nearly US$87bn, but closing the week at US$83bn.

Bitcoin saw the majority of inflows totalling US$98m, pushing AuM to a record US$56bn, with inflows of US$6.5bn this year. This is despite its dominance (relative performance) versus altcoins waning over the week.

Ethereum also saw continued inflows totalling US$17m with total AuM pushing past US$21bn for the first time.

Altcoin inflows were led by Cardano with inflows totalling US$16m last week although we cannot identify a discernible catalyst at this point. The inflows are likely being due to increasing positive investor sentiment for “World computer” coins.

Solana, Polkadot and XRP also saw inflows totalling US$9.8m, US$5.2m and US$3.1m respectively.

Although flows have been positive recently, we have witnessed subdued volumes in 2H, averaging US$750m daily versus US$960m in 1H 2021.

 

 

 

 

 

 

 

Contact James Butterfill at [email protected]

James Butterfill has over 19 years of experience in fund management, investment banking, economics and asset allocation, gained most recently as an investment strategist at CoinShares. Previously, he was head of research at ETF Securities, with prior experience as a multi-asset fund manager and investment strategist at Coutts & Co., HSBC & ING Barings. James is a regular media commentator, and frequently appears on Bloomberg TV, CNBC, BBC and other broadcast outlets. Investment Week awarded him best ETF Eesearch and best FX Research in 2016 and 2017, respectively. James is currently an investment strategist at CoinShares, writing research white papers on investment themes, identifying investment opportunities and helping investors understand the digital asset world.