Institutional investors withdrew $ 26 million from crypto funds in the week of August 2-8, according to a new weekly report from CoinShares.
Analysts concluded that so far the recovery in the cryptocurrency market has not attracted new investments in cryptocurrency funds. Although the rate of outflow from such investment funds has slowed down – in May and June it was noticeably higher. For example, in early June, investors withdrew $ 141 million.
It was the CoinShares fund for bitcoin that lost the most – $ 63.3 million was withdrawn from it, and since the beginning of the year the product has lost $ 946 million. The current capitalization of the fund is $ 3.6 billion. The cryptocurrency trusts of the market leader Grayscale remained at the same level, as well as the products of the Bitwise company. Also, a small outflow was recorded by the 3iQ company. The rest of the asset managers reported a positive balance of their funds for the period.
Interestingly, the funds were withdrawn exclusively from funds for bitcoin – products for other cryptocurrencies turned out to be in the black. If $ 33 million was withdrawn from funds on BTC, then, for example, funds on ETH raised $ 2.8 million. Institutions invested another $ 1 million in trusts on Bitcoin Cash.
Analysts point out that 2021 was a record year for the number of launches of new cryptocurrency funds. In 7 months of this year, 37 new funds became available to investors, while 30 such trusts were launched for the whole of 2018. At the moment, the total volume of assets in cryptocurrency investment products is approaching $ 50 billion.
Previously, analysts at Glassnode reported that demand for bitcoin from institutional investors remains weak.
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