The outflow was partly because of low investor participation due to seasonal effects, also seen in other asset classes.
Despite experiencing outflows for the fifth straight week, assets under management in digital funds hit their highest level since mid-May.
Bitcoin sellers are expected to cover positions, which could lead to higher prices next week.
The decline comes as the price of bitcoin fell below the $30,000 threshold.
The new fund joins a growing number of offerings seeking to help investors easily bet on growth in decentralized finance (DeFi).
Bitcoin saw the quietest trading week since October 2020.
Anthony Scaramucci’s SkyBridge Capital has launched its second crypto-specific private fund. One buyer has committed funds so far.
Net outflows from cryptocurrency funds totaled $44 million for the week ending June 25, marking the fourth consecutive week of redemptions.
The Series B round values the firm at $500 million.
The amount of money leaving was significantly less than the previous, record week of $141 million.
Crypto hedge funds had $3.8 billion in assets under management in 2020. Chainlink, Polkadot and Aave tokens proved to be popular.
Investors have been diversifying out of bitcoin and into altcoin investment products, according to CoinShares.
Ether attracted $30 million of inflows during the seven days through April 30.
Valkyrie is charging a 2% management fee on the fund, just under Osprey’s 2.5%. Are DOT funds the new BTC funds for buttoned-up investors?
Bitcoin prices fell 14% during the seven days through April 23, while ether rose 18%..