Digital asset fund inflow surges, reaching $44.5 billion in 2024

Digital asset investment products experienced unprecedented inflows in 2024, with annual figures soaring to $44.5 billion, according to a report by CoinShares. This is a four-fold increase compared to the previous year and highlights growing investor interest in digital assets.

Bitcoin and Ethereum are leading the way.

Bitcoin investment products were at the forefront last week, enjoying inflows totaling $2 billion. These investments have reached $11.5 billion since the US election, highlighting Bitcoin’s continued dominance in the digital asset space. Meanwhile, Ethereum recorded its seventh consecutive week of inflows reaching $1 billion last week, bringing the cumulative total during this period to $3.7 billion.

Broader market sentiment and regional trends

Investor sentiment appears to be generally positive across the region, with significant investment inflows observed in the United States, Switzerland, Germany and Brazil. The United States had the most with $3.1 billion, followed by Switzerland with $36 million, Germany with $33 million, and Brazil with $25 million. This widespread interest reflects the growing global acceptance and investment in digital assets.

Altcoins and other investment highlights

Among altcoins, XRP saw inflows of $145 million, driven by optimism surrounding a potential US-listed ETF. Polkadot and Litecoin also saw inflows, recording $3.7 million and $2.2 million respectively. This influx of capital into altcoins signals a diversification trend among investors seeking opportunities beyond Bitcoin and Ethereum.

Market liquidity and trading volume

The report also highlights that exchange-traded products (ETPs) have an average weekly trading volume of $21 billion, accounting for 30% of Bitcoin traded on trusted exchanges. Bitcoin’s daily trading volume on these exchanges averaged $8.3 billion, significantly outperforming traditional financial benchmarks such as the FTSE 100.

For more detailed insights, visit our full report on CoinShares.

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