Crypto ETP Inflows Top $10.8 Billion, Marking New Record

Crypto ETP interest surged last week, pushing year-to-date (YTD) inflows past the $10 billion mark, according to a report published by CoinShares on May 26. The week ending May 24 alone saw a massive $3.3 billion in inflows, boosting total YTD inflows to $10.8 billion.

CoinShares head of research James Butterfill said the total assets under management (AUM) in crypto ETPs briefly hit an all-time high of $187.5 billion last week. He attributed the rise to investors reacting to growing economic concerns in the United States. 

“We believe that growing concerns over the US economy, driven by the Moody’s downgrade and the resulting spike in treasury yields, have prompted investors to seek diversification through digital assets,” Butterfill noted.

Bitcoin Dominates Inflows, XRP Sees Massive Outflows

Bitcoin once again led the inflows, attracting $2.9 billion last week, which now accounts for roughly a quarter of all ETP inflows in 2024. As Bitcoin briefly soared above $110,000 on May 22, some investors also sought downside exposure, driving short-Bitcoin product inflows to $12.7 million—the highest since December 2024.

Ether ETPs also maintained strong momentum, bringing in $326 million in inflows. This marked the fifth consecutive week of gains for Ethereum investment products, helped by the recent success of the Pectra network upgrade which launched on May 7.

In contrast, XRP investment products suffered a major setback. After maintaining an inflow streak for 80 straight weeks, XRP ETP products experienced $37.2 million in outflows—the largest on record. This sharp reversal came despite two bullish developments: speculation around a U.S.-based spot XRP ETF and a $2.2 billion spike in XRP futures activity.

ETP Market Continues to Break Records

The record-breaking $10.8 billion in YTD inflows highlights the resilience of digital asset investment products despite market volatility earlier this year. Just weeks ago, CoinShares reported $785 million in inflows for mid-May, pushing the YTD total to $7.5 billion by May 16.

The latest figures now surpass the previous record of $7.2 billion set in February and fully offset the nearly $7 billion in outflows that occurred during the market correction that followed. 

With institutional and retail interest holding strong, crypto ETPs are on track for a historic year, further cementing their role in mainstream investment portfolios.