Bitcoin ETP Funds Drive Crypto Inflows to Record $5.95B

The US Government Shutdown fueled the biggest ever crypto market rally last week.

The global crypto exchange-traded products (ETPs) recorded $5.95 billion of inflows in the week ending Friday — the largest ever seen — CoinShares reported On Monday,

“We believe this was due to a delayed response to the FOMC [Federal Open Market Committee] interest rate cut, compounded by very weak employment data […], and concerns over US government stability following the shutdown,” James Butterfill said that CoinShares head of research James Butterfill.

Bitcoin (or cryptocurrencies) was a major beneficiary from the record-breaking inflows.BTCRegistering a new historic high above $125,000 This Saturday

Bitcoin ETPs set new records

Crypto ETPs have surpassed traditional ETPs in terms of their inflows, which reached $5.95 billion. previous $4.4 billion record From mid-July, by 35%.

In contrast to the past record inflows which were nearly equally divided between Bitcoin (BTC) and Ether.ETHBitcoin (BTC) was the main contributor to these latest gains, with Bitcoin fund attracting an unprecedented $3.6 billion.

“Despite prices closing in on all-time highs during the week, investors did not choose to buy short investment products,” CoinShares Butterfill is noted.

Butterfill stated that the Ether ETPs have seen inflows amounting to $1.48 billion. The year-todate total of inflows is now $13.7 billion which is close to three times what it was last year.

Solana (SOLETP (XRPCoinShares reports that both of these transactions set records.

Related: Companies spent $1.2B on Bitcoin last week, but BTC ETFs stole the show

The total asset under management in crypto funds has surpassed $250 billion, a record high, for the first.

New ETF launches despite shutdown-triggered delay concerns

Crypto ETPs have seen their historic inflows increase amid US Securities and Exchange Commission’s (SEC) scrutiny. shutting down operations last weekSparkling concerns over potential delays Highly anticipated exchange-traded fund (ETF) Approvals this October

According Eleanor Terrett from Crypto in America explains that, while the SEC still has the ability to respond to frauds and emergencies on the market, it is expected that there will be delays to routine tasks.

“It’s like a rain delay,” Eric Balchunas is a senior ETF Analyst at Bloomberg.

Despite the anticipated slowdown, Grayscale Investments — the second-largest US crypto ETF provider, after BlackRock — debuted the first US-listed spot crypto ETPs, enabling staking, on Monday.

Grayscale Ethereum Mini Trust Trust ETF and Grayscale Ethereum Trust Trust ETF now provide investors with additional benefits. staking rewardsGains on market performance of the fund are added to any gains.