CoinShares’ survey of digital asset investment products showed a third consecutive week of outflows even with an overall culmination of strong inflows.
Outflows last week into bitcoin and other crypto-based investment products totaled $32 million, totaling $260 million over the past three weeks. However, the London-based asset manager noted that the trend is waning after record weekly outflows in mid-December.
Cryptocurrency funds and products collected $9.3 billion in inflows in 2021, much larger than the $6.8 billion in 2020, or a 36 percent year-over-year increase.
“While the increase from 2019 to 2020 was significantly higher at 806%, we believe this is a mature industry, with total assets under management (AuM) ending the year at $62.5 million in 2021 versus just $2.8 billion at the end of 2019 . ,” the report notes.
Breaking down the latest stats, Coinshares said that $6.3 billion in Bitcoin inflows last year represented the largest inflows of all digital assets. This was a 16% year-over-year increase versus $5.4 billion in 2020. $269 million of capital inflows were invested in funds offering exposure to Bitcoin in the third week of October, after the US Securities and Exchange Commission allowed Bitcoin futures to decide European Training Foundation.
CoinShares shares launched on OTCQX market
Huge investments were also seen in Ethereum investment products, with inflows reaching $1.3 billion in 2021. Compared to $920 million in the previous year, but the latest round of negative sentiment saw 4 weeks of outflows totaling $161 million.
Ethereum’s market share has suffered in recent months due to Bitcoin’s dominance, and the latest batch of price drops and outflows have seen AUM drop to $16.7 billion from $20 billion. As a result, Ethereum now accounts for 28% of the capital closed in crypto investment products.
Other highlights show that the total number of coins participating in crypto investment products has expanded from 9 to 15. 37 investment vehicles were launched in 2021 compared to 24 in 2020, and now their total number is 132, which indicates the demand and popularity of digital assets.
Coinshares already operates exchange-traded cryptocurrencies (ETNs), which are regulated by the Swedish FSA. Europe’s largest crypto-asset manager whose common stock is traded on the US OTCQX market under the symbol “CNSRF”.
The crypto-asset investment and research platform believes that trading its shares in the upper tier of OTC markets will provide the investor with many benefits. This includes greater market visibility, easier trading access for US-based investors, and increased liquidity due to a broader geographic group of potential investors.