Digital Asset Fund Inflows Surge to Record $44.5 Billion in 2024

Digital asset investment products have experienced unprecedented inflows in 2024, with year-to-date figures soaring to $44.5 billion, according to a report by CoinShares. This marks a fourfold increase compared to any previous year, underscoring the growing investor interest in digital assets.

Bitcoin and Ethereum Lead the Charge

Bitcoin investment products have been at the forefront, enjoying inflows totaling $2 billion last week. These investments have accumulated to $11.5 billion since the U.S. election, highlighting Bitcoin’s continued dominance in the digital asset space. Meanwhile, Ethereum has recorded its seventh consecutive week of inflows, amounting to $1 billion last week, with a cumulative total of $3.7 billion over this period.

Broader Market Sentiment and Regional Flows

Investor sentiment appears broadly positive across regions, with significant inflows observed in the U.S., Switzerland, Germany, and Brazil. The U.S. led with $3.1 billion, followed by Switzerland with $36 million, Germany with $33 million, and Brazil with $25 million. This widespread interest reflects a growing global acceptance and investment in digital assets.

Altcoins and Other Investment Highlights

Among altcoins, XRP witnessed inflows of $145 million, fueled by optimism surrounding a potential U.S.-listed ETF. Polkadot and Litecoin also saw inflows, recording $3.7 million and $2.2 million respectively. The influx of capital into these altcoins indicates a diversification trend among investors seeking opportunities beyond Bitcoin and Ethereum.

Market Liquidity and Trading Volumes

The report further highlights that trading volumes in exchange-traded products (ETPs) have averaged $21 billion weekly, constituting 30% of Bitcoin traded on trusted exchanges. Bitcoin's daily trading volumes on these exchanges averaged $8.3 billion, significantly surpassing traditional financial benchmarks like the FTSE 100.

For more detailed insights, please visit the full report on CoinShares.