Foreign media reported that global crypto ETFs ended two consecutive months of net inflows in May, as funds shifted back toward redemptions. Data showed that global digital asset investment products experienced a net outflow of $2.39 billion in May, with assets under management declining from $158.7 billion to $141.1 billion.
The U.S. market dominates redemptions.
This round of outflows came almost entirely from U.S.-listed products. Although the U.S. market still accounted for approximately 84.5% of global assets under management at $119.2 billion in May, it experienced net outflows of $2.37 billion, making it the primary source of global capital withdrawal.
Markets outside the U.S. began to cool in April and turned to modest net outflows in May. Overall, global crypto ETF fund flows remain primarily driven by the U.S. market.
Higher-market-cap assets experienced deeper declines.
The CoinDesk 20 Index fell 1.11% in May, outperforming the more concentrated CoinDesk 5 Index, which declined 3.73%. Bitcoin fell 3.56% over the same period, reversing its strong rally in April.
According to TrackInsight data, outflows were primarily concentrated in Bitcoin and Ethereum-related products. In contrast, certain altcoin-related ETFs still recorded net inflows, with XRP, Hyperliquid, and Solana being the main representatives, indicating a divergence within the market.
Yield-generating and staking products attract capital
- NEOS Bitcoin High Income ETF had net inflows of $141.8 million.
- Bitwise Solana Staking ETF saw net inflows of $79.3 million
- Morgan Stanley Bitcoin Trust had net inflows of $73.9 million.
In addition, the Bitwise Hyperliquid ETF, NEOS Boosted Bitcoin High Income ETF, and Franklin XRP ETF also ranked among the top funds for net inflows this month. The article suggests that, despite redemptions in mainstream large-cap products, yield-enhanced, staking-based, and newly listed products continue to attract some capital.
The report also noted that after early June, Bitcoin dropped to around $62,000, with major indices falling another 15% or more. Based on this, the article concluded that the capital outflows in May did not form a temporary bottom, and market pressure continues.