Digital Assets See $141M In Outflows

Investors seek refuge in multicrypto investment products.

JamesButterfill310x310
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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
  • Digital asset investment products saw outflows totalling US$141m last week.
  • Total assets under management (AuM) are now at US$38bn, their lowest point since July 2021.
  • Bitcoin was again the primary focus with a swing from inflows the prior week to outflows totalling US$154m last week, while short bitcoin saw outflows totalling US$1.1m.
  • Multi-asset (multi-crypto) investment products remain the stalwart with inflows totalling US$9.7m last week. Inflows year-to-date represent 5.3% (US$185m) of AuM.

 

 

Digital asset investment products saw outflows totalling US$141m last week. The ongoing volatility has led to fickle investors with some seeing this as an opportunity while the aggregate sentiment is predominantly bearish. Outflows totalling US$154m were seen in the Americas while Europe saw inflows totalling US$12.4m. Total assets under management (AuM) are now at US$38bn, their lowest point since July 2021.

Bitcoin was again the primary focus with a swing from inflows the prior week to outflows totalling US$154m last week. Year-to-date and month-to-date flows remain net positive at US$307m and US$187m respectively. Short bitcoin saw outflows totalling US$1.1m last week.

Multi-asset (multi-crypto) investment products remain the stalwart with inflows totalling US$9.7m last week. Inflows year-to-date represent 5.3% (US$185m) of AuM. The investment products have seen only two weeks of outflows this year, much lower relative to its peers. We believe investors see multi-asset investments products as safer relative to single line investment products during volatile periods.

Minor inflows were seen across a broad selection of altcoins, most notable were Cardano and Polkadot with inflows totalling US$1m each.

Blockchain equity investment products saw outflows totalling US$20m, suffering in-line with the broad sell-off in equities.

 

 

 

 

 

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.