Crypto ETFs dominate top fund launches in 2024, led by record-breaking Bitcoin inflows Gino Matos · 2 hours ago · 2 min read
The eight funds, which include Bitcoin, Ethereum, and MicroStrategy ETFs, outperformed in a list of roughly 740 ETFs launched this year.
2 min read
Updated: Dec. 30, 2024 at 9:03 pm UTC
Cover art/illustration via CryptoSlate. Image includes combined content which may include AI-generated content.
The ETF Store CEO Nate Geraci highlighted that crypto-related exchange-traded funds (ETFs) led inflows in 2024, with the eight largest funds launched this year belonging to the sector.
The list includes four spot Bitcoin (BTC) ETFs, two Ethereum (ETH) ETFs, and two MicroStrategy ETFs. The eight funds outperformed all of the roughly 740 ETF launches over the past 12 months.
BlackRock’s spot Bitcoin ETF, IBIT, took the top spot with over $37 billion in positive net flows recorded in less than a year. It also became the best ETF debut in history, with nearly $53 billion in assets under management (AUM) accumulated in 11 months.
Fidelity’s spot Bitcoin ETF, FBTC, comes in second with inflows totaling $12.2 billion, while BlackRock’s spot Ethereum ETF ETHA is in third place with $3.5 billion in positive net flows.
This highlights the discrepancy between Bitcoin and Ethereum ETFs regarding flows, as the inflows of the largest Ethereum ETF are 11x lower than those of the largest Bitcoin fund.
The two other Bitcoin ETFs on the list are ARK 21shares’ ARKB and Bitwise’s BITB, which recorded inflows of $2.6 billion and $2.2 billion, respectively.
The first MicroStrategy-related ETF, YieldMax’s MSTY, recorded the eighth-largest net flows, nearing $1.8 billion, followed by the second Ethereum ETF on the list — Fidelity’s FETH — which recorded a little over $1.5 billion in net flows.
Defiance’s MSTX wraps up the top 8 as the second MicroStrategy-related ETF, with $1.4 billion in inflows.
Just the beginning
Analysts are optimistic about the future of crypto ETFs in the US. Bitwise estimates that Bitcoin ETFs alone will attract $35 billion in inflows next year, surpassing $70 billion cumulatively in less than two years.
Meanwhile, Bloomberg ETF analysts Eric Balchunas and James Seyffart expect a wave of new crypto-related ETFs next year. Additionally, Geraci recently predicted that the regulatory landscape is set to become more favorable for the sector in the coming months, which makes the approval of a Solana (SOL) ETF in 2025 likely.
According to Farside Investors’ data, US-traded spot Bitcoin ETFs registered $12.1 billion in inflows from Nov. 6 to Dec. 27, representing 34% of their year-to-date flows.
The impact was even more significant on spot Ethereum ETFs, which registered $3.2 billion in inflows in the same period. The capital flows were enough to reverse over $500 million in negative net flows from these funds, now totaling nearly $2.7 billion.
