Digital-asset funds post $1.47B weekly outflow as May weakness deepens

Digital-asset investment products extended their losing streak last week, logging net outflows of $1.47 billion, according to CoinDesk. It was the second straight weekly withdrawal and the third-largest weekly outflow recorded so far in 2026, adding to a soft May for the segment. Bitcoin accounted for the bulk of redemptions, with about $1.315 billion leaving over the week. That pullback cut bitcoin's year-to-date net inflows to $2.6 billion from $3.9 billion. Ethereum products saw $222.8 million in outflows, close to the prior week's roughly $249 million. A handful of tokens still attracted fresh money. XRP led major assets with $31.8 million of inflows. Bitcoin-related products took in an additional $10.2 million, while Solana drew $7.7 million. The report said nine assets posted weekly inflows of more than $1 million. Outflows were broad-based across regions. Germany was close to flat, while Switzerland recorded $16.2 million of outflows, Canada $12.5 million and Hong Kong $12.2 million. Overall, flows weakened across North America and several offshore markets. The report pointed to two drivers behind the risk-off tone: renewed Middle East tensions and uncertainty around U.S. crypto legislation. Even after U.S. President Trump announced a peace agreement with Iran that briefly lifted sentiment, risk appetite faded again. Meanwhile, momentum behind the CLARITY Act has slowed, with the estimated probability of passage falling to 50%, prompting some institutions to trim exposure amid continued regulatory ambiguity.