Renewed Confidence in Crypto Products Amid Ongoing Conflict Sees $127M in Crypto Inflows This Week

The seventh consecutive week of inflows into digital asset investment products amounted to $127 million last week.

A more than threefold increase over last week’s gains, the latest CoinShares report suggests that “investors remain supportive of digital assets despite the recent geopolitical events prompting a sell-off in risk assets.” Similarly to previous weeks, most of these inflows occurred in North America, totaling $151 million last week, while Europe continued to see outflows of $24 million.

Coin flows

Sharing a similar streak of seven weeks, Bitcoin-based investment products saw inflows amounting to $95 million last week, the largest over the course of a single week since December 2021. Ethereum-based products also saw the largest inflows for 13 weeks, totaling $25 million last week, notably following a bout of negative sentiment since the end of last year.

Also seeing inflows of $8.6 million last week, the report highlighted that multi-asset investment products have seen the most inflows year-to-date on a relative basis, totaling $104 million, which represents 3.6% of assets under management.

Meanwhile, flows for altcoins showed mixed results overall last week. While Solana, Polkadot, and Binance experienced outflows of $1.7 million, $900,000 and $400,000 respectively, Litecoin, Cardano and XRP saw inflows totaling $400,000, $900,000 and $400,000 respectively. Finally, blockchain equities experienced inflows amounting to $7.7 million last week.

During the week prior, crypto investment products still managed to experience inflows, despite the escalation of the conflict in Ukraine, albeit only a mere $36 million. The report had highlighted that Bitcoin trading volumes on crypto exchanges trading the RUB/USD pair surged 121% week-on-week. 

Flows were rather lopsided, with the Americas seeing inflows of $95 million, while European investment products in Europe saw outflows amounting to $59 million. However, the week prior to that at the outset of the invasion, Europe was still experiencing inflows, although some $101 million of that week’s $109 million in inflows had gone to the Americas.

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