Bitcoin ETFs log inflows as cold wallet hack reignites custody debate
US spot Bitcoin ETFs drew $382 million in two-day inflows, with Galaxy’s Bitcoin ETF returning to gains as the Coldcard incident renewed custody concerns.
Two-day inflows of $382 million were recorded by US spot Bitcoin ETFs, driven by a resurgence in Galaxy's Bitcoin ETF following a Coldcard incident. The event reignited debates surrounding digital asset security and institutional custody solutions. Spot Bitcoin ETFs saw $211.5 million in net inflows on Tuesday alone, adding to Monday's $170 million inflows, according to SoSoValue.
The Coldcard hack potentially impacted 7,300 addresses and resulted in about $130 million in suspected Bitcoin losses. Galaxy Research estimated these figures, renewing discussions on the benefits of institutional custody offered through regulated financial products. BlackRock's iShares Bitcoin Trust (IBIT) led inflows with $111 million on Monday and $170 million on Tuesday, while Fidelity's Wise Origin Bitcoin Fund (FBTC) added about $33 million each day.
Invesco Galaxy Bitcoin ETF (BTCO) recorded $6.7 million in inflows, marking its first positive daily flow since July 1, representing about 3.9% of BTCO's cumulative net inflows. Analysts, including Eric Balchunas of Bloomberg Intelligence, suggested the Coldcard incident may prompt greater migration towards Bitcoin ETFs, as investors reevaluate the role of institutional custody.
Bitcoin prices remained stable amid the market-wide concerns, trading at $64,113, down 0.8% over the past week, with its lowest price dipping below $62,500.
Written by urgent.news from Cointelegraph's reporting — not their text. Machine-written — may contain errors; check the original before relying on it.
