Crypto funds see record $1.5 billion inflow on the first bitcoin ETF in the US

New Delhi Digital asset investment products or crypto funds saw a total inflow of $1.47 billion last week, the largest on record since the first bitcoin-based exchange-traded fund (ETF) called the ProShares Bitcoin Strategy ETF (BITO) , started trading in the US, according to digital asset manager CoinShares.

The earlier record was $1.31 billion inflows that crypto funds saw for the week ending 22 January 2021.

Bitcoin saw 99% of the total inflows totaling $1.45 billion last week. Additionally, year-to-date (YTD) inflows are now $8 billion, surpassing the record $6.7 billion in 2020.

BITO, which began trading on October 19, became one of the most sought-after funds, as it became the fastest ETF to reach the $1 billion mark in assets under management (AUM) within two days of its launch. Gaya.

“The record inflows were a direct result of the US Securities and Exchange Commission allowing bitcoin ETFs to invest in futures and resulted in the listing of two bitcoin investment products with total inflows of $1.24 billion,” CoinShares wrote in a report. it occurs.”

Another bitcoin futures ETF from Valkyrie Investments was launched on Friday.

Ethereum saw total outflows of $1.4 million for the third week in a row. CoinShares believes it is going to take marginal profit as the price closes at an all-time high.

Ethereum, the world’s second largest cryptocurrency, was trading 2% higher at $4,226.44 on Tuesday and still 3% lower than its all-time high of $4,361.18, according to digital currency price and information data platform Coingecko.

Similarly, bitcoin was trading flat at $63,084.33, but was down 6% from its lifetime high of $67,276.79.

Meanwhile, other altcoins saw the most notable inflows with Solana, Cardano and Binance seeing total inflows of $8.1 million, $5.3 million and $1.8 million respectively last week.

During the week, total assets under management reached a new record high of $79.2 billion, according to CoinShares, but closed the weekend at $76.7 billion.

In terms of crypto fund providers, the world’s largest digital asset manager, Grayscale, held steady with total assets under management (AUM) of $54.64 billion, followed by CoinShares with an AUM of $5.16 billion and 3iQ with an AUM of $2.77 billion. .

ProShares, which launched the first US bitcoin ETF, saw $1.24 billion in inflows during the past week.

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