Inflows to Crypto Funds Slow as Apparent Profit-Taking Offsets Fresh Money

Digital asset fund inflows slowed last week, although demand for Ethereum products rose, according to CoinShares.

May 10, 2021 at 4:44 p.m. UTC

Updated Sep 14, 2021 at 12:53 p.m. UTC

Flows into digital asset funds slowed by about $116 million to $373 million last week as some investors apparently cashed out, according to a report Monday by CoinShares.

Overall, positive inflows were noted during the week ending May 7, although “some providers continue to see outflows in what we believe is continued profit taking behavior,” wrote CoinShares, a digital asset investment firm.

Bitcoin (BTC) netted $290 million of inflows on the week, according to the report.
Meanwhile, investor demand for investment products focused on Ethereum continued to rise, with inflows of $60 million last week. Total assets under management reached a new record of $16.5 billion.
“Bitcoin achieved this level of assets under management only in December 2020,” according to CoinShares.
“New investment product entrants, cardano (ADA) and litecoin (LTC), got off to a good start with inflows of $6.6 million and $3.6 million respectively.”

DISCLOSURE

Please note that our privacy policy, terms of use, cookies, and do not sell my personal information has been updated.

The leader in news and information on cryptocurrency, digital assets and the future of money, CoinDesk is a media outlet that strives for the highest journalistic standards and abides by a strict set of editorial policies. CoinDesk is an independent operating subsidiary of Digital Currency Group, which invests in cryptocurrencies and blockchain startups. As part of their compensation, certain CoinDesk employees, including editorial employees, may receive exposure to DCG equity in the form of stock appreciation rights, which vest over a multi-year period. CoinDesk journalists are not allowed to purchase stock outright in DCG.