Digital Asset Investment Products See Robust Inflows Amid Market Volatility

Digital asset investment products recorded impressive inflows of $527 million last week despite fluctuating market conditions and investor sentiment.

The surge in digital asset investment products occurred even after a significant $530 million sell-off on Monday, driven by news surrounding DeepSeek AI, which initially rattled the market. However, investor confidence quickly rebounded, leading to over $1 billion in inflows later in the week.

The strong inflows reflect broader positive trends for digital assets, with 2024 seeing a total of $44 billion in inflows. Year-to-date (YTD) figures for 2025 remain encouraging, with $5.3 billion flowing into digital assets.

Regionally, the United States led the charge, receiving $474 million in inflows last week and $5 billion YTD. Europe also saw positive movement, with $78 million in weekly inflows and $93 million YTD. On the other hand, Canada faced challenges, with $43 million in outflows, likely due to new U.S. trade tariffs.

Bitcoin dominated the inflows, attracting $486 million last week. Short-bitcoin products also experienced their second consecutive week of inflows, totalling $3.7 million. In contrast, Ethereum recorded no significant net flows, which were impacted by its exposure to the tech sector and global economic uncertainties.

XRP, the second-best performing altcoin, saw YTD inflows of $105 million, including $15 million last week. Blockchain-related equities also experienced notable investment, with YTD inflows reaching $160 million, as investors see current price adjustments as buying opportunities in the sector.