The cryptocurrency asset fund market accelerates, with Bitcoin and Ethereum ETFs continuing steady capital inflows

Over the past week, the most notable trend in the global cryptocurrency investment market has been the continued strong appeal of physical funds related to U.S. coins. Data shows that spot ETFs centered on Bitcoin and Ethereum have recorded steady capital inflows, accelerating adoption among institutional investors.

U.S. Bitcoin ETF records $286 million net inflow over three days

Last week, U.S. Bitcoin spot ETFs achieved a net inflow of $286 million over three business days, bringing total assets under management to $118.27 billion. The inflow was concentrated mainly in three funds: Ibit with $214 million, FBTC with $84.5 million, and BITB with $24.6 million. During the same period, six ETFs experienced capital outflows, but the strong attraction of mainstream products offset this.

This trend reflects solid demand from institutional investors and highlights a clear shift toward regulated approved funds in the U.S. coin market.

Ethereum spot ETF, $209 million net inflow signals recovery

In the same week, Ethereum spot ETFs in the U.S. recorded a net inflow of $209 million. Total assets expanded to $19.42 billion, with all six Ethereum spot ETFs experiencing capital inflows. BlackRock’s ETHA led the inflows with $138 million, indicating strong interest from institutional fund managers.

According to Glassnode analysis, this inflow suggests Ethereum spot ETFs are emerging from weeks of capital outflows, showing signs of recovery. The start of steady, ongoing capital inflows increases the likelihood of improved demand toward the end of the year.

Asian markets: Hong Kong ETFs expand, regulatory environments divided

In Hong Kong, Bitcoin spot ETFs recorded a net inflow of 46.59 BTC, with assets reaching $354 million. Changes in asset share between fund issuers Jiahui and Huaxia indicate shifting preferences among institutional investors. Meanwhile, Ethereum spot ETFs saw no significant capital movement, maintaining an asset size of $105 million.

In contrast, regulatory environments in Japan and South Korea remain cautious. Japan’s Financial Services Agency (FSA) considers offering derivatives like CFDs linked to overseas crypto ETFs as challenging due to insufficient investor protection. As a result, firms like IG Securities have halted offering CFDs related to U.S. spot Bitcoin ETFs. South Korea’s plans for physical crypto ETF trading are nearly on hold due to delays in amending the Capital Markets Act.

Options market remains bullish, derivatives of Bitcoin ETFs expand

Derivatives markets are also active. As of December 12, the nominal total trading volume of Bitcoin spot ETF options in the U.S. reached $2.02 billion, with a long-short ratio of 1.62. On December 11, the options position size was $33.89 billion, with a long-short ratio of 1.83, indicating buying pressure dominates. Implied volatility stands at 45.98%, reflecting increased short-term trading activity among market participants.

Accelerating concentration among institutional holders, reorganization of Bitcoin liquidity underway

Glassnode’s large dataset reveals intriguing details. Four major holder types—public companies, government agencies, ETFs, and exchanges—hold a total of 5.94 million BTC, accounting for 29.8% of circulating supply. Breakdown: public companies with about 1.07 million BTC, government agencies with about 620,000 BTC, U.S. spot ETFs with about 1.31 million BTC, and exchanges with about 2.94 million BTC.

This structure indicates liquidity is increasingly concentrated among institutional investors and custodial service providers, marking a milestone in market maturation.

Emerging ETF products diversify investment options

In the U.S. market, a surge in new ETF applications continues. According to data shared by Bloomberg analyst Eric Balchunas on X, by the end of 2025, 124 crypto-related ETP (Exchange-Traded Product) applications are concentrated in the U.S. market. Bitcoin-related products lead with 21 applications (18 of which are derivative structures), followed by basket funds with 15, XRP with 10, Solana with 9, and Ethereum with 7. Currently, 42 are physical applications under the “1933 Act,” with the rest being derivatives or structured funds.

Product diversity is also expanding, with Nicholas Financial applying for the “Nicholas Bitcoin and Treasuries AfterDark ETF (NGTH),” which holds Bitcoin only at night and invests in U.S. Treasuries during the day. Major asset managers like Invesco and BlackRock are also developing new products, such as Solana ETFs and Stake’d Ethereum Trust ETFs, creating a positive cycle that broadens investor participation.

Success of XRP and Solana ETFs drives market momentum

XRP spot ETF assets surpassed $1 billion within less than four weeks of listing, announced Ripple CEO Brad Garlinghouse on X. This achievement marks the fastest milestone since the launch of Ethereum spot ETFs.

For Solana, Lily Liu, Chair of the Solana Foundation, stated at Solana Breakpoint 2025 that six physical staking ETFs have been listed in the U.S., with assets nearing $1 billion in a short period. Despite market headwinds, they recorded three consecutive weeks of net inflows, demonstrating strong investor demand. Liu also noted that large payment companies like Western Union and Pfizer are beginning to adopt the Solana ecosystem, emphasizing accelerating institutional adoption.

Grayscale’s staking strategy delivers investment returns

Peter Mintzberg, CEO of digital asset manager Grayscale, announced that the Ethereum Trusts ETHE and ETH have generated approximately $11.8 million for investors through staking rewards over the past 60 days. These two funds are among the top performers in the current U.S. ETF market, with staking features becoming a key factor for investor selection.

VanEck’s “Degen Economy ETF” pioneers new territory

VanEck announced the Degen Economy ETF, focused on investments in digital gaming and prediction voting. Bloomberg analyst Eric Balchunas notes that this reflects growth in the gambling sector within the economy. While existing gaming-related ETFs have struggled and been adjusted, this new product employs a niche-focused strategy, indicating increased specialization in the ETF market.

Bitwise’s “10 Crypto Index Fund” officially listed, basket strategy advances

Bitwise’s “10 Crypto Index Fund” has been officially listed as an ETF on NYSE Arca. Covering ten major cryptocurrencies—Bitcoin, Ethereum, XRP, Solana, Cardano, Chainlink, Litecoin, Stellar, Avalanche, and Polkadot—this basket strategy overcame SEC review delays to reach the market.

Growing institutional participation reshapes market structure

Vanguard’s move to open cryptocurrency trading in traditional retirement and brokerage accounts has enabled millions of retail investors to access the market. This infrastructure expansion broadens the market from tech-focused investors to a wider retail base.

As Lily Liu emphasizes, for new institutional entrants, “stability and community” are becoming more critical evaluation criteria. With large payment firms adopting blockchain, the standards for blockchain selection are shifting from mere technical specs to ecosystem maturity. This change accelerates the institutionalization of the entire crypto market and further boosts demand for regulated fund products.

On the regulatory front, a two-tiered landscape is emerging: the U.S. adopts a proactive stance, while Japan and South Korea remain cautious. However, this temperature difference is likely to converge under international standardization pressures. Future focus will be on the progress of institutionalization in major Asian markets and the expansion of derivatives markets.