On May 23, 2018, we published revised versions of our Privacy Policy and User Agreements. Please read these updated terms and take some time to understand them. Your use of our services is subject to these revised terms.
Yes, I Agree.

Crypto Industry Crosses $1B in Inflows Before Year’s End

Crypto asset managers including ProShares, CoinShares, Bitwise, 21Shares and Grayscale have collectively witnessed substantial inflows, surpassing $1 billion for the year. This influx of funds, according to CoinShares’ most recent report, added a noteworthy $293 million to a run of seven weeks in a row of higher investments.

As of November, the total inflows have amounted to an astounding $1.14 billion, making 2023 the third-highest annual inflow year on record. CoinShares head of research James Butterfill noted that total assets under control have increased significantly, by 9.6% in the last week and by an astounding 99% since the beginning of the year. Total assets under management are currently around $44.3 billion, reaching levels not seen since the massive cryptocurrency fund failures in May last year.

The surge in investments was primarily driven by Bitcoin (BTC), with investment products related to the leading cryptocurrency attracting $240 million in inflows. Conversely, short BTC products experienced outflows of $7 million, indicating sustained positive sentiment.

Bitcoin exchange-traded products (ETPs) accounted for almost 20% of the overall BTC trading volume in the past week. This suggests a more active participation of ETP investors in the ongoing market rally, a notable contrast to the trends observed in 2020 and 2021, according to Butterfill.

In the week that followed BlackRock’s filing to establish an Ethereum Trust corporation in Delaware and NASDAQ’s filing for BlackRock’s proposed spot ether ETF, ether-based products witnessed inflows totaling $49 million, the most since August 2022.

Reflecting on the challenges faced by the industry in the preceding year, including a significant drop in digital asset prices, Butterfill acknowledged that the recent surge in inflows indicates a shift in sentiment, particularly among institutional investors. He noted, however, that identifying the exact sources of these inflows into investment products such as exchange-traded funds (ETFs) remains challenging due to the anonymous nature of allocations.

According to the Block’s price statistics, Solana-based funds also had notable inflows of $12.4 million during a week in which the cryptocurrency asset increased by more than 40% and peaked at over $62. At the moment, Solana trades for about $57. Over the past week, ether and Bitcoin have increased by 7.6% and 4.5% respectively and are now trading for $2,042 and $36,693, respectively.

Examining the regional distribution of the inflows, Switzerland, Germany, the United States and Canada emerged as leading contributors, with $50.3 million, $52.9 million, $81.1 million and $105.7 million respectively. Furthermore, the blockchain equities ETFs experienced $14 million in inflows, the highest since July 2022, bringing the net flows for the year to a positive $11 million.

Companies such as HIVE Blockchain Technologies Ltd. (NASDAQ: HIVE) (TSX.V: HIVE) are likely to register more activity as a result of these inflows into the industry after the crypto winter.

About CryptoCurrencyWire

CryptoCurrencyWire (“CCW”) is a specialized communications platform with a focus on blockchain and the cryptocurrency sector. It is one of 60+ brands within the Dynamic Brand Portfolio @ IBN that delivers: (1) access to a vast network of wire solutions via InvestorWire to efficiently and effectively reach a myriad of target markets, demographics and diverse industries; (2) article and editorial syndication to 5,000+ outlets; (3) enhanced press release enhancement to ensure maximum impact; (4) social media distribution via IBN to millions of social media followers; and (5) a full array of tailored corporate communications solutions. With broad reach and a seasoned team of contributing journalists and writers, CCW is uniquely positioned to best serve private and public companies that want to reach a wide audience of investors, influencers, consumers, journalists and the general public. By cutting through the overload of information in today’s market, CCW brings its clients unparalleled recognition and brand awareness. CCW is where breaking news, insightful content and actionable information converge.

To receive SMS alerts from CryptoCurrencyWire, text “CRYPTO” to 888-902-4192 (U.S. Mobile Phones Only)

For more information, please visit https://www.CryptoCurrencyWire.com

Please see full terms of use and disclaimers on the CryptoCurrencyWire website applicable to all content provided by CCW, wherever published or re-published: https://www.CryptoCurrencyWire.com/Disclaimer

New York, NY
212.994.9818 Office

CryptoCurrencyWire is powered by IBN


Select A Month

Official NewsWire Relationships

Anarchapulco Main Event Blockchain Africa Conference Blockchain Futurist Conference Blockchain Life Conference Blockchain Shift Coingenius Coinvention CryptoBlockCon CryptoFest European Blockchain Convention EVOLV - evolve.events Finovate nftexpoverse Paris Blockchain Week The North American Bitcoin Conference Virtual Blockchain Week The Voice of Blockchain World Crypto Conference

CryptoCurrencyWire Currently Accepts



Bitcoin Cash

Bitcoin Cash

Doge Coin






USD Coin

USD Coin

Contact us: 212.994.9818