Cryptocurrency investment products remained resilient during last Friday’s flash crash, recording strong inflows over the past week.
According to CoinShares’ Monday report, crypto exchange-traded products (ETPs) saw $3.17 billion in inflows last week, despite market turbulence triggered by fresh U.S. tariff threats from President Donald Trump.
“Friday saw minimal reaction, with just $159 million in outflows,” CoinShares head of research James Butterfill noted, underscoring crypto funds’ ability to withstand the panic following the $20 billion in liquidations during the sell-off.
In addition to the strong weekly inflows, crypto funds reached a new milestone, surpassing last year’s total inflows and climbing to $48.7 billion year-to-date.
Trading activity also hit record levels, with weekly volumes for crypto funds reaching an all-time high of $53 billion, including $15.3 billion on Friday alone.
Despite the inflows and trading surge, total assets under management (AUM) declined slightly, falling from $254 billion the previous week to $242 billion.
Bitcoin funds led the inflows, attracting $2.7 billion over the week and bringing year-to-date inflows to a new high of $30.2 billion—still roughly 30% below last year’s total of $41.7 billion.
“Friday’s price correction saw record trading volumes of $10.4 billion, while net flows remained minimal at just $0.39 million,” CoinShares’ James Butterfill noted.
Ether funds experienced the largest single-day outflows among major crypto assets. Although they posted $338 million in net inflows for the week, Friday alone saw $172 million withdrawn.
Butterfill indicated that investors perceived Ether funds as the “most vulnerable” during the market downturn.
Altcoin investment products, meanwhile, saw a noticeable slowdown. Solana funds drew $93.3 million, and XRP products brought in $61.6 million—both sharply down from the previous week’s $706.5 million and $219 million, respectively.
James Butterfill noted that the slowdown in SOL and XRP inflows came despite heightened excitement over upcoming Solana and XRP ETF launches in the U.S.
As the U.S. enters its third week of a government shutdown, at least 16 crypto ETFs remain pending approval, should the shutdown extend into November.
ETF analyst and NovaDius Wealth Management president Nate Geraci suggested that the market is poised for a “flood” of spot crypto ETFs once the government resumes operations.
