Bitcoin News Today: U.S. Bitcoin ETF Approval Ignites $44.2B Crypto ETP Surge in 2024

Crypto ETPs closed 2024 with record-breaking inflows of $44.2 billion, a 320% increase from the previous record of $10.5 billion set in 2021, according to CoinShares. This surge was driven by the approval of U.S. spot Bitcoin ETFs in January 2024, which accounted for the majority of the inflows. Bitcoin ETPs dominated the market, attracting $38 billion in inflows-nearly 29% of Bitcoin's $130 billion in assets under management (AUM). Ethereum ETPs followed with $4.8 billion in inflows, representing 26% of Ethereum's $18.6 billion AUM. Other altcoins, including Solana, contributed $813 million, though their share of inflows remained modest compared to Bitcoin and Ethereum.

The U.S. emerged as the largest market for crypto ETPs in 2024, with $44.5 billion in inflows. However, Canada became the largest seller, recording $707 million in outflows. Sweden and Germany also posted significant outflows of $682 million and $328 million, respectively. Conversely, Switzerland and Brazil saw inflows of $630 million and $234 million, though these gains were offset by outflows in other regions. Institutional demand remained a key driver, with BlackRock capturing 96% of global crypto ETP inflows in the first half of 2025. The firm's $17 billion in inflows dwarfed those of competitors like ProShares ($526 million) and Fidelity ($246 million), while Grayscale faced $1.7 billion in outflows.

Bitcoin's dominance in ETP inflows continued into 2025, with the first three days of the year seeing $585 million in inflows. Over 11 consecutive weeks, crypto ETPs recorded $16.9 billion in cumulative inflows, accounting for 95% of year-to-date flows. Bitcoin ETPs alone accounted for 83% of weekly inflows in the most recent week, bringing in $2.2 billion. Ethereum ETPs added $429 million in the same period, reinforcing its position as the second-largest asset class in the space.

Regulatory developments in the U.S. further fueled growth. The approval of spot ETFs for Bitcoin and Ethereum in early 2024 reshaped investor sentiment, with analysts attributing much of the inflow surge to institutional confidence in these products. The SEC's recent decision to permit in-kind creations and redemptions for crypto ETPs and the introduction of options on Bitcoin ETPs are expected to expand market liquidity. Additionally, the CLARITY Act, which seeks to clarify the regulatory status of cryptocurrencies, passed in the House with bipartisan support, signaling continued legislative momentum.

Looking ahead, industry forecasts highlight potential for further growth. Galaxy Digital predicts U.S. Bitcoin spot ETPs could reach $250 billion in AUM by 2025, narrowing the gap with gold ETPs. Analysts also anticipate regulatory shifts under the Trump administration, including the establishment of a Strategic Bitcoin Reserve and expanded access to crypto investments in retirement plans. These developments, coupled with the ongoing expansion of the ETP ecosystem-now including 76 listings in the U.S. with $156 billion in assets-suggest digital assets are solidifying their role in mainstream portfolios.

Source: [1] Cointribune (https://www.cointribune.com/en/crypto-etp-inflows-near-2024-levels-as-institutional-demand-holds-firm/)

[2] Cointelegraph (https://cointelegraph.com/news/crypto-etp-2025-start-585-million-inflows-coinshares)

[3] CoinEngineer (https://coinengineer.net/blog/crypto-etp-inflows-reach-17-8b-in-h1-2025-slightly-below-2024-figures/)

[4] Ecoinimist (https://ecoinimist.com/2025/01/06/crypto-etps-strong-2025-start/)

[5] WealthManagement (https://www.wealthmanagement.com/etfs/crypto-etfs-surge-regulatory-tailwinds-and-market-growth-in-2025)

[6] Newsbtc (https://www.newsbtc.com/news/bitcoin-dominance-fuels-585-million-crypto-etp-inflows-in-2025/)