dailyhodl.com
Digital assets manager CoinShares says that institutional crypto investors poured hundreds of millions in capital into digital asset products last week after the Fed’s announced rate cut.
In its latest Digital Asset Fund Flows report, CoinShares says that institutional crypto investment products saw a surge in inflows to the tune of $321 million following Fed chair Jerome Powell’s announcement that the Federal Open Markets Committee’s (FOMC) decision to cut interest rates by 50 basis points (bps).
“Digital asset investment products experienced a second consecutive week of inflows, totaling US$321 million. This surge was likely driven by the Federal Open Market Committee (FOMC) comments last Wednesday, which took a more dovish stance than anticipated, including a 50 basis point interest rate cut. As a result, total assets under management (AuM) saw a 9% growth. Total investment product volumes were US$9.5bn, up 9% from the week prior.”
The US lead inflows regionally with $277 million. Switzerland followed with $63 million while Germany, Sweden and Canada provided $9.5 million, $7.8 million and $2.3 million in inflows a piece.
Bitcoin (BTC), per usual, took the lion’s share of inflows at $284 million. Ethereum (ETH), on the other hand, suffered outflows of $29 million last week, its fifth consecutive week of losses.
“This is due to persistent outflows from the incumbent Grayscale Trust and scant inflows from the newly issued ETFs. Meanwhile, Solana investment products continue to see small but consistent weekly inflows, with inflows last week totaling US$3.2m.”