According to data from Farside Investors, this Thursday, October 30, Bitcoin and Ethereum ETFs recorded combined outflows of $672 million. BlackRock’s IBIT fund led the exodus with $291 million in redemptions, while the ETHA ETF, also from BlackRock, lost $118 million. Institutional Bitcoin ETFs alone saw an outflow of $490 million that day, signaling strong risk aversion from large investors.
These massive withdrawals coincide with revelations of a $500 million fraud at HPS Investment Partners, BlackRock’s private credit arm acquired in July 2025. The scandal, involving telecom financing based on falsified invoices, has shaken the markets. Although analysts cite profit-taking as the cause for the outflows, the fraud’s timing has heightened anxiety and raised doubts about the firm’s risk management.
Despite the turbulence, BlackRock dominates the ETF space, with IBIT attracting $28.1 billion in net inflows in 2025. However, this concentration creates systemic risk: investors are watching to see if doubts about the fraud in its credit division spread to confidence in its Bitcoin ETFs, which could force large redemptions and drain liquidity from the entire crypto market.
Source: https://farside.co.uk/btc/
Disclaimer: Crypto Economy’s Flash News is produced from official and public sources verified by our editorial team. Its purpose is to quickly inform about relevant events in the crypto and blockchain ecosystem.
This information does not constitute financial advice or investment recommendations. We recommend always verifying the official channels of each project before making related decisions.
