Cryptocurrency Fund Flows On Track for Record Quarter
Digital asset investment products closed on Friday with a record $55.8 billion assets under management.
Updated Sep 14, 2021 at 12:27 p.m. UTC
![Inflows to crypto investment funds dropped last week, coinciding with the market's recent retreat.](https://www.coindesk.com/resizer/cN2Mzxxz7mfY6BzgDX4u6ZzN13M=/567x399/filters:quality(80):format(jpg)/cloudfront-us-east-1.images.arcpublishing.com/coindesk/NYRJTICQ7JAHRNKEUGIP4JO33I.png)
First-quarter inflows to cryptocurrency investment products (ETPs) total $4.2 billion already, breaking the quarterly record of $3.9 billion in Q4 2020, according to a report by CoinShares, a digital asset investment firm.
- Digital asset investment products closed on Friday with a record $55.8 billion assets under management (AUM) following net inflows and positive price action last week of $242 million, according to the CoinShares report.
- Ethereum funds took in a net $113 million last week.
- Passive investment products with $54.1 billion AUM continue to outperform their active peers with a smaller $786 million in AUM, according to CoinShares. Passive funds simply track the price of digital assets, while active strategies adjust the weightings of their underlying holdings based on market conditions.
- “The price action as bitcoin drew closer to $60,000 led to minor outflows of $39 million last week, which we believe is due to profit taking,” according to CoinShares.
![Chart shows weekly crypto asset flows.](https://www.coindesk.com/resizer/Q_jsguvGStdGDpiPG7K6eHxZMEc=/560x392/filters:quality(80):format(jpg)/cloudfront-us-east-1.images.arcpublishing.com/coindesk/4PAZ5YVZIBGH7OEVN6ZA4ITH4I.png)