Digital asset exchange-traded products broke a two-month losing streak in July, but investors largely stayed on the sidelines as the broader crypto market surged, according to a new analysis from Fineqia International Inc (CSE:FNQ).
Total assets under management (AUM) across global digital asset ETPs edged up 1.8% to $108.7 billion, a modest gain that senior associate Matteo Greco said was driven by rising token prices rather than fresh investor demand.
Total digital asset market capitalization rose 6.4% during the month, climbing to $2.26 trillion from $2.12 trillion. The roughly 4.7 percentage point gap between ETP AUM growth and market cap growth suggests higher underlying asset prices were partly offset by net redemptions from the products, Greco said.
"The material divergence between Bitcoin ETP AUM and the underlying asset indicates negative flow effects during July," the report noted, adding that price appreciation across the sector was largely offset by investor redemptions.
Bitcoin-backed ETPs ended the month with $88.6 billion in AUM, up just 0.4% from $88.2 billion in June, even as BTC's price climbed 7.4% to $62,896 from $58,562. Bitcoin accounted for approximately 81.5% of total crypto ETP AUM at the end of July, down from 82.6% in June, as its market share slipped in favour of Ethereum products.
Ethereum ETPs led the monthly recovery, with AUM increasing 16.8% to $12 billion from $10.3 billion, as ETH's price rose 18.7% to $1,863 from $1,569. Ethereum's share of total crypto ETP AUM rose to approximately 11.1%, up from 9.6% in June.
Altcoin ETP AUM increased marginally, up 0.6% to $5.26 billion from $5.23 billion, while basket ETP AUM was the only major category to decline, falling 7.4% to $2.85 billion from $3.08 billion. Combined, altcoin and basket products represented approximately 7.5% of total crypto ETP AUM at the end of July, down from 7.8% in June.
On a year-to-date basis, total crypto ETP AUM remained down 33.8% from $164.2 billion at the end of 2025, compared with a 25.9% decline in total digital asset market capitalization over the same period. Bitcoin ETP AUM was down 32.2% year-to-date, versus a 28.1% decline in BTC's price, while Ethereum ETPs remained the weakest major segment, with AUM down 44.2% against a 37.2% decline in ETH's price.
Despite the challenging backdrop for AUM and flows, product issuance continued. The number of listed digital asset ETPs rose to 330 at the end of July, up from 328 in June and 312 at the end of 2025.
"July's improvement was uneven and concentrated primarily in Ethereum rather than representing a broad recovery across all digital asset ETP categories," Greco concluded.