U.S. Funds Drive $1.7B in Global Crypto ETP Outflows

CoinShares reported that U.S.-based funds drove $1.7 billion in net outflows from global crypto exchange-traded products (ETPs) in the latest weekly report, extending redemptions to a third consecutive week. The firm said the withdrawals from products domiciled in the United States pushed total net flows for global crypto ETPs into negative territory for the week.

The report identified the bulk of the withdrawals as coming from U.S. products and described the pattern as a continuation of investor selling over three weeks. The summary did not name specific tokens or individual funds when outlining the week's flows.

Crypto ETPs are exchange-listed investment products that give investors exposure to digital assets without direct ownership of the underlying tokens. Net outflows occur when redemptions and sales exceed new capital inflows, reducing assets under management for the affected products.

CoinShares aggregates capital flows across jurisdictions to track short-term shifts in investor allocations to crypto exposure. The firm’s data covers different product types and regions and reports weekly and monthly flow figures.

Crypto ETPs include physically backed products that hold underlying tokens and synthetic or swap-based products that deliver exposure through derivatives. These products trade on traditional exchanges and the size and composition of flows vary by region and investor type, with both institutional and retail participants influencing net movement.

The report serves as a weekly snapshot of capital flows into and out of exchange-traded crypto instruments and is used by traders and asset managers when evaluating demand for regulated crypto exposure.