This strong start follows a record-breaking 2024.
However, a late-year dip in December left crypto ETPs with $75 million in net outflows for the final trading week.
2024: A Record Year for Crypto ETFs
Despite a rocky ending, 2024 proved to be a banner year for crypto investment products, with $44.2 billion in inflows—a jaw-dropping 320% increase from the previous record of $10.5 billion set in 2021. The bulk of these inflows came from the historic launch of spot Bitcoin ETFs in the United States in January 2024.
“Spot Bitcoin ETFs in the U.S. were the driving force behind this surge,” said James Butterfill, head of research at CoinShares. Bitcoin ETPs alone attracted $38 billion in inflows, representing 29% of Bitcoin’s total $130 billion assets under management (AUM). Ethereum-based ETPs also had a solid year, with late 2024 momentum pushing their annual inflows to $4.8 billion, 26% of ETH’s $18.6 billion AUM.
Other notable contributions came from XRP and multi-asset ETPs, which saw $438 million and $257 million in inflows, respectively. Total assets under management for all crypto ETPs reached $160.6 billion by the end of 2024.
Mixed Signals Across Global Markets
While the U.S. led the pack with $44.5 billion in crypto ETP inflows, other regions didn’t fare as well. Canada, for instance, saw $707 million in outflows last year, making it the biggest crypto ETP seller. European countries like Sweden and Germany followed suit, with $682 million and $328 million in outflows, respectively.
These losses offset inflows from countries like Switzerland and Brazil, which posted $630 million and $234 million, respectively. Overall, the mixed global performance shows that while the U.S. is bullish on crypto investment products, some markets remain hesitant.
Disclaimer
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