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Bitcoin and crypto ETPs continue their impressive performance just a week into the new year. According to a CoinShares report posted by James Butterfill, crypto ETPs saw an inflow of $585 million in the first few days of the year. Analysts say this strong early performance of crypto ETPs continues the amazing performance of the assets from last year.
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In the same CoinShares report, crypto ETPs are expected to reach over $44 billion by 2024, with Bitcoin as the most traded digital asset. Bitcoin saw $38 billion in inflows, representing about 30% of all Assets Under Management (AUM), while Ethereum picked up speed in the last half of the year, with a net income of over $4.8 billion.
Bitcoin ETPs Lead the Pack
James Butterfill’s CoinShare shared these findings on the performance of crypto ETPs on the company’s official site and social media pages. The report explained that Bitcoin ETPs are a popular digital investment product, accounting for $38 billion of all Bitcoin AUM in global ETPs.
2024 saw US$44bn inflows into crypto ETPs, 2025 is off to a great start with US$585m inflows to date.
— James Butterfill (@jbutterfill) January 6, 2025
Ethereum ETPs ranked second, receiving an estimated $4.8 billion in revenue by 2024, representing 26% of all ETH AUMs of global ETPs. ETP inflows this past year are 2.4 times greater than those recorded in 2021 and 60 times greater than those recorded in 2023.
Ethereum beats Solana in terms of cash flow in 2024, with only 69 million dollars, representing only 4% of all assets under management. Although Solana’s numbers are small relative to Bitcoin and Ethereum, it still leads all other altcoins.
Approval of Spot ETFs Helps to Increase Income
The industry saw record inflows in 2024, better than what the bull market experienced in 2021. In 2021, cryptocurrency investment products recorded more than 10 billion dollars. In short, last year’s revenue was 4x greater than the amount recorded in 2021.
According to Bufferfill, the proliferation of crypto investment products around the world benefited from the US approval of spot Bitcoin ETFs in January 2024. In January 2024, the US Securities and Exchange Commission approved 11 applications for Spot Bitcoin ETFs, followed by eight areas . Ether ETFs on May 22nd.
According to the latest data, these Bitcoin ETFs are the main reason for the inflow of money related to Bitcoin. Butterfill also explained that these ETFs will redefine the income of crypto investments in the future.
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Better Days Ahead for US Bitcoin Spot ETPs
Apart from CoinShares, Galaxy Digital also provided a positive picture of the future of the crypto investment industry. In a report shared on December 31, 2024, the company boldly predicted that the US ETPs market will continue to rise in 2025. The report showed that this niche will reach $250 billion in AUM this year.
Meanwhile, Alex Thorne of Firmwide Research said that Bitcoin ETPs are closing in on US gold ETPs in total assets under management.
Thorne added that Bitcoin will continue to be one of the best-performing assets on its risk-adjusted basis. Some analysts shared that Ether’s spot ETPs will explode again this year. The Ethereum blockchain will benefit from the Trump presidency and favorable regulatory changes.
Featured image from OneSafe, chart from TradingView