Digital asset products and funds saw $600 million in outflows last week. It was the most significant outflow since March 22, according to the June 17 report.
followreportCoinShares’ latest “Weekly Crypto Asset Fund Flows” found that most of the outflows came from Bitcoin funds, which saw weekly outflows of $621 million. In contrast, short Bitcoin funds saw weekly inflows. up to 1.8 million dollars
The report points to an expected outlook from the Federal Reserve that means maintaining high interest rates. is the culprit behind the outflow.
Altcoins follow
Altcoins generally performed well last week. There was an inflow of $13.2 million into the Ether fund, $2 million into the LIDO investment product and $1.1 million into the XRP investment product.
In addition, investment products BNB, Litecoin Cardano, Chainlink also has small weekly inflows.
However, inflows into altcoins did not help limit outflows. This resulted in total digital assets under management falling from $100 billion to $94 billion during the week.
Delayed institutional adoption
Despite initial interest about the launch of a Bitcoin ETF in the United States, But many experts believe that the adoption of digital assets by institutions is still in its infancy.
Marc Degen, co-founder of blockchain company Trust Square, shared his belief that corporate adoption of Bitcoin is still in its infancy. “Amateur”
The co-founder expressed his position using Bitcoin ETF inflows, explaining that Bitcoin ETFs have a combined valuation of between $60 billion and $70 billion to date. Total assets under management globally hit $100 billion in early June.
But when this figure is put into broader perspective by comparing total inflows into digital asset funds with inflows into JPMorgan in 2023, the banking giant saw net new customer revenue of 489 billion. dollar
Jenny Johnson, CEO of Franklin Templeton, also echoed the same sentiment and argued that institutional adoption is still in its infancy.
refer : cointelegraph.com
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