The Grayscale Bitcoin Trust (GBTC) has recorded more than $21 billion in outflows since January, making it the only spot Bitcoin exchange-traded fund (ETF) in the United States to post a negative net investment flow. Despite its January 11 launch, GBTC continues to shed millions daily, while other spot Bitcoin ETFs have seen consistent inflows.
Data from Farside Investors shows that as of December 16, GBTC’s total outflows reached $21.045 billion, averaging $89.9 million in withdrawals per day over the past 11 months. In stark contrast, the remaining nine spot Bitcoin ETFs approved in the U.S. have collectively brought in $20.737 billion, with BlackRock’s iShares Bitcoin Trust (IBIT) driving the market’s overall positive balance.
IBIT has played a critical role in stabilizing the spot Bitcoin ETF market, attracting a total of $35.883 billion in inflows since its inception, with an average daily intake of $153.3 million. This surge has propelled the total spot Bitcoin ETF market to exceed $35.5 billion in under a year, despite the substantial outflows from Grayscale’s GBTC.
Grayscale’s challenges extend beyond Bitcoin, as its Ethereum Trust ETF (ETHE) is also experiencing significant withdrawals. Since its launch on July 23, ETHE has seen outflows exceeding $3.5 billion in less than six months. In contrast, BlackRock’s iShares Ethereum Trust ETF (ETHA) and Fidelity’s Ethereum Fund (FETH) have led the spot Ether ETF market with inflows of nearly $3.2 billion and $1.4 billion, respectively.
The disparity highlights a shifting dynamic within the cryptocurrency ETF market, as investors increasingly favor funds with competitive fees and strong institutional backing. While Grayscale’s GBTC and ETHE struggle to retain capital, BlackRock and Fidelity continue to dominate with substantial inflows, reflecting investor confidence in their offerings.
Despite GBTC’s outflows, the broader spot Bitcoin ETF market remains robust, driven by growing institutional adoption and the landmark launch of ETFs in the U.S. With over $35 billion in total investments, the sector marks a significant milestone for digital asset integration into traditional financial markets.