- Digital asset investment products saw record $13.2 billion inflows in 2022 so far, surpassing 2021’s $10.6 billion total.
- Bitcoin dominated inflows with $28.96 billion, making up 99.9% of the $29.16 billion total last week. The US accounted for most inflows.
- Altcoins saw mixed results – Ethereum, Solana and Polygon saw outflows but Polkadot, Litecoin, Cardano and Binance saw inflows.
Digital asset investment products have seen unprecedented growth in 2022, surpassing last year’s record inflows. This milestone highlights the increasing mainstream adoption of cryptocurrencies as an asset class.
Record $13.2 Billion Inflow in 2022 So Far
Last week, digital asset investment products saw a $29 billion net inflow, marking two consecutive weeks of record-breaking inflows. This propelled total inflows in 2022 so far to $13.2 billion, exceeding the $10.6 billion for the entire 2021 bull run. Furthermore, the total assets under management of crypto ETPs reached $100 billion before a slight correction to $97 billion.
US Bitcoin Flows Lead the Charge
Bitcoin remained the dominant force, with inflows totaling $28.96 billion, making up 99.9% of the $29.16 billion total inflow last week. While Grayscale’s GBTC saw outflows, BlackRock’s BITO and Fidelity’s FBTC saw significant inflows. The US accounted for nearly all inflows, attracting $29.5 billion. However, countries like Canada and Germany saw outflows.
Mixed Results for Altcoins
While Bitcoin thrived, smart contract platforms like Ethereum, Solana and Polygon saw varying outflows. However, other altcoins like Polkadot, Litecoin, Cardano and Binance saw inflows. Surprisingly, short Bitcoin products also saw inflows despite the bullish sentiment.
Conclusion
The staggering inflows so far in 2022 highlight the growing mainstream adoption of digital assets as investors increasingly allocate funds to cryptocurrencies. Bitcoin remains the prime beneficiary, but altcoins are also attracting significant interest. It will be interesting to see if the momentum continues for the rest of the year.
