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Ethereum Investment Funds Saw Record Outflows of $50M

Ethereum Investment Funds Saw Record Outflows of $50M

Ethereum Investment Funds Saw Record Outflows of $50M

Net outflows from cryptocurrency funds totaled $44 million for the week ending June 25, marking the fourth consecutive week of redemptions.

Net outflows from cryptocurrency funds totaled $44 million for the week ending June 25, marking the fourth consecutive week of redemptions.

Net outflows from cryptocurrency funds totaled $44 million for the week ending June 25, marking the fourth consecutive week of redemptions.

AccessTimeIconJun 28, 2021, 4:02 PM
Updated Mar 2, 2023, 10:34 PM

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Investors are exiting digital asset investment products, including funds focused on bitcoin and ethereum, as a wave of negative sentiment weighs on cryptocurrencies.

Net outflows from cryptocurrency funds totaled $44 million for the week ending June 25, marking the fourth consecutive week of redemptions.

Ethereum products suffered net outflows of $50 million last week, the largest on record since 2015, according to a report by CoinShares published Monday. The movement marks a reversal from the trend so far in 2021, with Ethereum-focused products having garnered a net of $943 million for the year to date as investors diversified away from bitcoin.

  • “Since mid-May, as negative sentiment has remained prevalent, net weekly outflows now total $313 million," representing 0.8% of total assets under management (AUM), according to CoinShares.
  • On a relative basis, the total outflows of digital asset funds last week “remains small in comparison to the negative sentiment in early 2018, where outflows as a percentage of AUM totaled 4.9%.”
  • Multi-asset digital investment products saw inflows of $6 million last week, suggesting that investors are seeking diversification across cryptocurrencies, beyond bitcoin and ethereum.

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