Digital Asset Funds Smash Records: AuM Rockets to $188B as Institutional FOMO Kicks In

Wall Street's latecomers are finally piling into crypto—just in time for the next correction.

Fund flows hit all-time highs this week as asset managers scramble to claim their slice of the $188 billion digital asset pie. Who said institutional adoption was a slow burn?

The real question: How long until the suits start blaming 'market volatility' for their poor entry timing?

In a significant milestone for digital asset investment products, the total assets under management (AuM) have reached a record high of $188 billion, bolstered by $1 billion in inflows last week, according to CoinShares. This marks the 12th consecutive week of positive fund flows, contributing to a cumulative $18 billion in inflows over this period.

Regional Disparities in Fund Flows

The United States led the charge with $1 billion in inflows, showcasing its dominant position in the digital asset investment landscape. Meanwhile, Germany and Switzerland followed with inflows of $38.5 million and $33.7 million, respectively. However, not all regions shared this bullish sentiment. Canada and Brazil experienced outflows of $29.3 million and $9.7 million, reflecting regional divergences in investor confidence.

Bitcoin and Ethereum: A Tale of Two Cryptocurrencies

Bitcoin investment products saw inflows of $790 million last week. Although substantial, this figure represents a slowdown compared to the previous three weeks, which averaged $1.5 billion in inflows. The moderation suggests growing investor caution as Bitcoin nears its all-time high price levels.

Conversely, ethereum continues to attract significant investor interest, recording its 11th consecutive week of inflows. Last week, Ethereum added $226 million, bringing the total inflows over this period to $2.85 billion. On a proportional basis, Ethereum's weekly inflows have averaged 1.6% of AuM, significantly outpacing Bitcoin's 0.8% and indicating a shift in investor sentiment towards Ethereum.

Market Trends and Outlook

Overall trading volumes reached $16.3 billion last week, aligning with the weekly average for the year. The sustained inflows and record AuM levels underscore growing institutional and retail interest in digital asset products, which continue to gain traction as a viable investment class.

As the digital asset market evolves, investors are increasingly drawn to the potential of cryptocurrencies like Ethereum, which offer diversified opportunities beyond Bitcoin. This trend highlights the dynamic nature of investor preferences and the ongoing maturation of the digital asset ecosystem.

For more insights and detailed analysis, visit CoinShares.

• digital assets
• investment
• cryptocurrency