Bitcoin News Today: U.S. Crypto ETFs Surpass Traditional ETFs With $12.8 Billion Inflows in July 2025

U.S. crypto ETFs have experienced a record-breaking month, amassing a net inflow of $12.8 billion in July 2025, surpassing the inflows of traditional ETFs like the Vanguard S&P 500 ETF (VOO) [1]. This figure more than doubled the previous average monthly inflow, marking a historic milestone for the crypto asset class and signaling a significant shift in investor behavior [1]. The performance was driven by funds tracking Bitcoin and Ether, which attracted substantial demand, with all major crypto ETFs experiencing positive cash inflows [1]. Eric Balchunas, a senior analyst at Bloomberg, noted that this was the highest monthly inflow ever recorded for the crypto ETF category [1].

Among the standout performers was BlackRock’s iShares Bitcoin Trust ETF (IBIT), which saw 75% of its new investors being first-time BlackRock customers. Additionally, 27% of these new clients also purchased other iShares ETFs, indicating a cross-selling effect that may benefit the broader fund provider [1]. Launched in January 2024, IBIT is credited with contributing to a sharp rise in Bitcoin’s market value, with the cryptocurrency’s price increasing by nearly 300% since the ETF’s application [1]. The ETF operates on a 1:1 ratio with Bitcoin, allowing investors to own BTC directly through a transparent and intermediary-free investment vehicle [1].

The surge in demand for crypto ETFs appears to have played a pivotal role in Bitcoin’s price appreciation, raising concerns about the growing influence of institutional and governmental actors in the market. Analysts point to the increased participation from Wall Street as a key factor in the crypto asset’s recent trajectory [1]. Meanwhile, the broader financial landscape is showing signs of transformation, as these crypto ETFs offer easier access to digital assets compared to traditional investment vehicles [1]. As investor adoption continues to rise, the potential for crypto ETFs to reshape the investment landscape becomes more pronounced, challenging traditional financial tools and creating new dynamics in market participation [1].

Source: [1]https://coinmarketcap.com/community/articles/688e779639d2602fe2e55d21/