Cryptocurrency fund assets hit record $167 billion in May

In May, cryptocurrency fund assets reached a record high of $167 billion, fueled by easing trade tensions and renewed investor interest in riskier assets. According to Morningstar, 294 crypto funds attracted $7.05 billion in net inflows, the highest level since December.

Bitcoin surged more than 15% over three months, outperforming gold (13.3%) and the MSCI World Index (3.6%). Nicolas Lin, CEO of Aether Holdings, noted that Bitcoin is increasingly being seen not only as a high-risk asset but also as a hedge.

Nic Puckrin of Coin Bureau attributed Bitcoin’s rise to declining confidence in US assets. The dollar is weakening, bond yields are rising, and equities face uncertainty—yet Bitcoin remains resilient, he said.

Lin described crypto’s integration into investment portfolios as a lasting trend, predicting steady inflows. Bitcoin funds saw net inflows of $5.5 billion in May, while Ether funds attracted $890 million, according to Coinshares.