The cryptocurrency investment sector experienced an unprecedented surge last week, with digital asset investment products attracting a massive $3.85 billion in inflows.
Year-to-Date Growth and Record Highs
According to a report by CoinShares, the inflow of $3.85 billion for the week of December 2–6 has brought the year-to-date (YTD) inflows to a staggering $41 billion. This surge has led to total assets under management (AUM) in digital asset investment products reaching a new all-time high of $165 billion, surpassing the 2021 peak.
Regional Inflows: The U.S. Dominates
The United States led the global inflows, contributing a substantial $3.6 billion of the total $3.85 billion for the week. Other countries also saw notable contributions, including Switzerland ($160 million), Germany ($116 million), Canada ($14 million), and Australia ($10 million).
Bitcoin and Ethereum Amid Overall Sector Growth
Bitcoin attracted the lion's share of the inflows, with $2.5 billion pouring into Bitcoin-focused investment products. This brings Bitcoin's YTD inflows to a record $36.5 billion. Interestingly, despite Bitcoin's strong performance, short Bitcoin products saw minimal inflows of just $6.2 million. Ethereum experienced its largest weekly inflow ever, with $1.2 billion into Ethereum-based investment products. The broader blockchain sector saw growth as well, with blockchain equities attracting $124 million.
The unprecedented growth in cryptocurrency investments underscores the strengthening interest of institutional investors in decentralized finance and blockchain innovations.
