Crypto Funds Bleed $446M in Outflows—But XRP and SOL Funds Defy the Trend with Positive Streak

Crypto investment funds just took a $446 million hit in outflows—a stark reminder that not all that glitters is digital gold. While the broader market shows signs of institutional skittishness, two assets are stubbornly bucking the trend.

XRP and SOL Funds Hold the Line

Amid the sea of red, funds tied to XRP and Solana are clinging to a positive streak. It’s a classic case of selective confidence—where the smart money isn't fleeing the sector entirely, but pivoting toward specific protocols with clearer regulatory tailwinds or stronger developer momentum. Forget a broad-based rally; this is a precision play.

The Big Picture: A Shakeout, Not a Collapse

Major outflows often signal a sentiment shift, but they don't necessarily spell doom. This feels more like a portfolio rebalance than a mass exodus—institutional investors trimming fat on overhyped bets while doubling down on projects with tangible utility. It’s the market’s way of cutting the dead weight.

One cynical take? Traditional finance still treats crypto like a casino, pulling chips off the table at the first sign of volatility—never mind the underlying technology revolutionizing their own creaky systems. The $446 million exit is less about crypto failing and more about old-money risk managers hitting the panic button they installed last century.

So, watch where the money flows next. When institutions get picky, they’re not leaving—they’re just getting started.

United States leads crypto funds outflows

Crypto funds outflows were concentrated in the United States, which recorded $460 million in redemptions during the week. The losses accounted for over 100% of total weekly outflows. Switzerland posted $14.2 million in outflows, while other regions saw minimal activity.

Germany stood out as the notable exception, attracting $35.7 million in inflows during the week. German investors have now contributed $248 million in inflows for December, making it the largest source of positive flows this month.

The regional data shows broad-based weakness across most markets. Australia recorded near-zero flows at -$0.04 million. Brazil saw $1 million in outflows. Canada posted $2.9 million in redemptions. Hong Kong attracted $0.9 million in inflows. Sweden recorded $3.7 million in outflows. Total assets under management across all crypto funds stood at $174.2 billion.

iShares and Grayscale lead provider outflows

Grayscale Investments had weekly outflows of $115 million. Losses of $211 million month to date pushed year-to-date flows to -$3.2 billion. Total AUM stood at $24.8 billion, while it remained the second-largest provider.

Fidelity Wise Origin Bitcoin Fund had weekly outflows of $111 million. Month-to-date flows were still positive at $69 million, while year-to-date inflows amounted to $385 million. In total, AUM reached $17.6 billion. Bitwise Funds Trust witnessed an outflow of $66 million during the week, while month-to-date outflows were $140 million and year-to-date losses were $52 million.

ARK 21 Shares saw $31 million in weekly redemptions lift month-to-date outflows to $221 million and year-to-date losses to $863 million. Meanwhile, 21Shares AG saw mere outflows of $2 million on the week.

ProShares ETFs/USA and Volatility Shares Trust bucked the trend with positive weekly flows. ProShares pulled in $26 million, taking MTD inflows to $278 million and YTD flows to $2.2 billion. Meanwhile, Volatility Shares came in with $25 million in weekly inflows, marking MTD gains of $263 million and taking YTD inflows to $1.5 billion.

XRP and Solana products attract capital

XRP products saw $70.2 million in weekly inflows, extending the streak of positive flows. Since the mid-October ETF launches in the United States, XRP crypto funds have seen $1.07 billion in cumulative inflows. Month-to-date flows were at $424.8 million, while year-to-date inflows stood at $3.3 billion. In total, AUM stood at $2.9 billion.

Solana products saw $7.5 million in weekly inflows. Since the ETF launches of mid-October, solana crypto funds have seen $1.34 billion in cumulative inflows. Month-to-date flows were $124.8 million while year-to-date inflows were $3.5 billion. Total AUM reached $3.1 billion.

Sustained losses in Bitcoin and Ethereum funds

Bitcoin products saw $443 million in outflows this week. Since XRP and Solana ETFs launched mid-October, bitcoin crypto funds have witnessed $2.8 billion in cumulative redemptions. Month-to-date losses reached $25 million, while year-to-date flows stood at $26.8 billion. Total AUM stood at $136.2 billion.

Ethereum products saw $59.3 million in outflows this week. Since the mid-October launch of competing ETFs, crypto funds have seen $1.6 billion in cumulative losses for Ethereum. Month-to-date redemptions reached $241 million, while year-to-date flows were at $12.7 billion. Total AUM stood at $24.1 billion.

Other multi-asset products witnessed an outflow of $27.2 million in the week, and losses have reached $193.3 million month-to-date. Year-to-date redemptions stand at $190 million. All other products, including Chainlink, Short Bitcoin, and Litecoin, had mixed flows with a minimal impact on the overall picture.

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