Key Takeaways
Visa knowledge reveals stablecoin velocity hit a report 49.7x as $320B in provide beneficial properties utility.Bitcoin ETFs have misplaced $6.6B since Oct. 2025, with Blackrock IBIT now seeing outflows.Ethereum ETF demand weakened in Might 2026 as Blackrock ETHA posted sustained outflows.
Bitcoin ETF Outflows Hit $6.6B as Stablecoin Funds Speed up
Stablecoins are displaying indicators of a significant shift from buying and selling device to funds infrastructure, whilst crypto exchange-traded funds (ETFs) wrestle to carry investor capital.
A report by DWF Labs, utilizing filtered knowledge from Visa and Allium Labs reveals stablecoin velocity has reached an annualized report of 49.7 occasions. The metric measures how typically every tokenized greenback adjustments palms in a 12 months. The next determine suggests stablecoins are getting used extra actively, reasonably than sitting idle in wallets or alternate accounts.
The market now contains about $320 billion in stablecoins. In lower than 5 months this 12 months, these tokens have processed $6.64 trillion in filtered transaction quantity. The information removes bots, high-frequency buying and selling loops and inside transfers.
The composition of that exercise can also be altering. Remittances, business-to-business funds, and client funds are actually the fastest-growing areas. Change-linked quantity, as soon as the primary driver of stablecoin use, has fallen to a smaller share of complete exercise.
That shift marks what analysts describe because the third section of stablecoin adoption. From 2019 to 2021, development was largely speculative, with velocity holding between 24 and 28 occasions as provide expanded. From 2022 to 2024, stablecoins had been stress-tested in the course of the Terra and FTX collapses, with velocity peaking at 34.2 occasions as customers moved funds away from riskier venues.
Since 2025, transaction quantity has grown quicker than provide. Velocity first rose to 39.3 occasions and has now climbed to 49.7 occasions, pointing to broader real-world use.
The pattern contrasts with spot crypto ETFs, the place demand has weakened. Bitcoin ETFs have now seen their longest sustained outflow interval since launch, following six straight quarters of web inflows. Outflows started in October 2025 and have continued throughout three quarters. Whole drawdowns from the height have reached $6.6 billion.
Earlier ETF outflows had been typically pushed by buyers leaving Grayscale’s higher-fee GBTC and transferring into cheaper merchandise corresponding to Blackrock’s IBIT or Constancy’s FBTC. Current exercise appears totally different. On Might 27, IBIT itself noticed outflows, whereas complete web redemptions throughout issuers reached $733.4 million for the day.
That means some institutional patrons could also be treating bitcoin ETFs as macro momentum trades, reasonably than long-term portfolio allocations.
Ethereum ETFs face a distinct drawback. After launching in July 2024, they had been hit by heavy redemptions from Grayscale ETHE, together with $484 million on the primary day. Demand later surged in July and August 2025, when Blackrock’s ETHA attracted $4.2 billion and $3.38 billion, respectively.
However that momentum has pale. Grayscale outflows have slowed, but capital has not meaningfully rotated into rival merchandise. A number of issuers are posting flat flows, whereas ETHA noticed outflows by means of a lot of Might.
The result’s a cut up market: stablecoins are gaining actual financial traction, whereas crypto ETFs are testing whether or not institutional demand is sturdy or just cyclical.
