Spot Bitcoin exchange-traded funds (ETFs) continued to pull in the red last week, with net outflows totaling about $1.72 billion in the week ending June 5, according to SoSoValue data. The pace stretches a four-week run of billion-dollar redemptions that began mid-May, underscoring a shifting risk appetite among institutional players rather than a Bitcoin-specific crisis.

Data compiled by Farside Investors show the bulk of the pressure coming in the first three trading days of June, when the sector collectively shed $483.8 million, $519.1 million and $396.6 million, respectively. A brief $3.2 million inflow on Thursday was followed by Friday’s $325.7 million withdrawal. The week’s losses were led by the largest fund in the space, BlackRock’s iShares Bitcoin Trust (IBIT), which logged roughly $1.34 billion in net outflows. Fidelity Wise Origin Bitcoin Fund (FBTC) and Grayscale Bitcoin Trust (GBTC) also contributed to the drag, with net outflows of about $201.9 million and $144.3 million, respectively. The four-week streak marks a pronounced reversal from the inflows that supported spot BTC ETFs earlier in the year.

The broader market picture shows that the pullback in Bitcoin ETFs sits within a macro backdrop characterized by shifting rate expectations and appetite for institutional risk. As investors recalibrate portfolios in response to employment data, Treasury yields and rate-cut expectations, the most liquid and widely used products tend to bear the brunt of adjustments, according to market observers.

Key takeaways

• Bitcoin spot ETFs posted about $1.72 billion in net outflows in the week to June 5, extending a four-week streak of billion-dollar redemptions.
• IBIT accounted for the majority of the losses, with around $1.34 billion in net outflows; FBTC and GBTC also saw material withdrawals.
• Ether spot ETFs recorded $173.05 million in net redemptions for the same week, the fourth straight weekly withdrawal, bringing four-week losses to roughly $885.6 million.
• Altcoin ETF flows diverged: HYPE ETFs posted about $16.65 million in net inflows, XRP ETFs gained around $2.62 million, while Solana ETFs shed about $6.52 million.
• Analysts frame the move as macro-driven repricing of risk rather than crypto-specific weakness; the pattern aligns with broader shifts in rate expectations and institutional risk appetite.

Macro repricing behind ETF outflows

Market participants are interpreting the persistent outflows as a macro-driven revision of risk, rather than a signal of deteriorating faith in crypto assets per se. Matthew Pinnock, chief operating officer of Altura DeFi, emphasized that the ETF withdrawals reflect liquidity dynamics and risk tolerance in institutional portfolios more than a fundamental failure of Bitcoin itself.

“The timing of these redemptions aligns closely with stronger-than-expected U.S. employment data, rising Treasury yields, and a sharp reduction in rate-cut expectations this year amid the ongoing Gulf conflict,” Pinnock told Cointelegraph. “Bitcoin’s recent weakness has been driven more by changing rate expectations and institutional risk appetite than by crypto-specific developments.”

The dominance of IBIT in the redemptions is unsurprising to market observers, given its scale, depth and status as a preferred access vehicle for large investors. In times of risk-off sentiment, the deepest and most liquid instruments are typically the first to bear the brunt as portfolios rebalance toward perceived safety or more liquid hedges.

Ether ETFs shed, while the alt-coin mosaic moves at a different pace

The retreat in Bitcoin ETFs was mirrored by Ether products, which recorded a $173.05 million net outflow for the week ending June 5. Ether’s fourth straight week of redemptions continues a pattern that has seen about $885.6 million leave Ether ETFs over the four-week span. This contrasts with a few pockets of inflows in the broader altcoin ETF space.

Not all alternative-coin ETFs followed the same trajectory. HYPE ETFs reported $16.65 million in net inflows, suggesting some demand for newer or more specialized crypto exposures even as core Bitcoin and Ether vehicles faced redemptions. XRP ETFs attracted modest inflows of about $2.62 million, while Solana ETF products posted a $6.52 million outflow over the same period. The mixed signals across altcoins highlight how traders are slicing risk and seeking different exposure levers as macro conditions evolve.

The evolving ETF flow dynamics come amid ongoing debates about the role of regulated products in crypto markets. While Bitcoin and Ether continue to be the anchor assets for many institutional allocators, the performance differentials among altcoins underscore the importance of liquidity, product depth and regulatory clarity in shaping investment choices.

For readers tracking the broader crypto ecosystem, these dynamics matter because they help illuminate how institutions are currently managing risk and where the next wave of adoption or retreat could come from. When traditional macro catalysts dominate, even the most liquid products can experience outsized moves, creating both potential opportunities and pitfalls for traders and portfolio managers alike.

In sum, the latest ETF flow data portray a market in transition: a clear macro-driven rotation among the most liquid products—with BTC and ETH bearing the brunt of redemptions—while select altcoin ETFs demonstrate uneven resilience. The coming weeks will be telling as investors weigh inflation signals, central-bank guidance and geopolitical developments that continue to shape risk appetite.

As the calendar turns, market watchers will be paying close attention to whether rate expectations stabilize or shift again and how institutional demand evolves for the deepest, most liquid crypto exposure vehicles. The next set of data releases could either reinforce this macro-driven repricing or reveal early signs of a demand resurgence for regulated crypto products.

Strategy (formerly MicroStrategy) just won shareholder permission to pay its mostly costly dividend twice as often, treating the scheduling change as win for innovation.

This morning, the company announced the approval of moving Stretch (STRC) dividends from monthly to semi-monthly payouts. 

The same 11.50% annualized dividend rate payout now splits into two smaller checks each month of 0.48% apiece.

The first semi-monthly dividend for STRC is scheduled for July 15 — two weeks earlier than the former calendar allowed.

The yield itself doesn’t change. Holders simply get half of the prior $0.96 monthly per share, on the 15th and last days of every month.

Strategy wanted approval and got it

Because retail investors own the overwhelming majority of STRC, the company prominently advertised the vote. Although it didn’t mention its motivation beyond vague shareholder benefits like “stabilize price, dampen cyclicality, drive liquidity, and grow demand,” Strategy itself benefits from semi-monthly dividends.

The campaign worked and the vote passed.

Indeed, timing is everything in markets. This particularly important vote arrived at the best possible time for Strategy. Specifically, STRC closed on Friday 6.6% below its intended $100 price per share.

Immediately, the following business morning, Strategy announced that the next dividend payout would arrive two weeks ahead of schedule.

Prior to this vote, shareholders had more than three weeks until they would have received their dividend. Now, they will receive a new dividend in just five business days.

As a result, Strategy immediately benefited from this new, near-term catalyst. STRC rallied 3.7% by noon.

Although the company might have needed to raise its dividend rate to encourage bids closer to $100, STRC is already rallying today due to its far more near-term payout date — no dividend rate increase needed.

Strategy has approved a plan to pay STRC dividends twice a month, introducing a new payout schedule while the preferred stock continues to trade below its $100 par value.

Based on preliminary voting results from the company’s 2026 Annual Meeting of Stockholders, Strategy said shareholders approved Proposal 5, which changes STRC dividend payments from a monthly schedule to semi-monthly distributions. The proposal received support from both MSTR and STRC stockholders.

Under the revised structure, dividend payments will be made on the 15th and the final day of each month. The first record date is scheduled for June 30, 2026, while the first payment under the new schedule will be distributed on July 15.

Commenting on the change, Strategy chief executive Phong Le said the company believes more frequent dividend payments could help improve liquidity and provide holders with faster opportunities to reinvest their returns. 

“Paying dividends on STRC twice a month is designed to stabilize price, dampen cyclicality, drive liquidity, and grow demand for STRC, while giving STRC holders faster reinvestment opportunity.”

At the time of writing, STRC was trading around $96.65, according to Yahoo Finance data, remaining below its $100 par value. The preferred stock currently carries an annual dividend rate of 11.50%.

Strategy expands cash reserves alongside dividend changes

Alongside the dividend update, Strategy has resumed adding to its Bitcoin holdings after briefly interrupting its accumulation strategy.

As previously reported by crypto.news, the company acquired 1,550 BTC for approximately $101.3 million between June 1 and June 7, paying an average of $65,332 per coin. The purchase increased Strategy’s total Bitcoin holdings to 845,256 BTC.

Regulatory filings also showed that the company increased its U.S. dollar reserve by $100 million, bringing the total reserve to $1 billion.

The latest purchase followed Strategy’s sale of 32 BTC near the end of May for roughly $2.5 million. The transaction represented the company’s first reported Bitcoin sale since December 2022 and drew attention from investors because Strategy has long built its reputation around holding Bitcoin rather than selling it.

As reported by crypto.news earlier, JPMorgan said the sale appeared to be symbolic and voluntary, likely intended to demonstrate flexibility and commitment to preferred stockholders. Even so, the bank argued that the transaction raised questions about how future dividend obligations could be funded without relying on Bitcoin holdings.

JPMorgan also noted that replenishing reserves could help ease concerns that additional Bitcoin sales may eventually be required to support preferred stock dividends and debt-related obligations.

Some market participants see limited pressure to sell Bitcoin

Not all market participants share JPMorgan’s concerns. BTCTOP CEO Jiang Zhuoer argued that major Bitcoin sales would undermine Strategy’s identity as a long-term holder and could cause more damage than maintaining exposure during downturns.

Jiang added that even if Bitcoin fell to $30,000, Strategy’s leverage ratio would remain manageable at around 10%. He also said the company could sell older, lower-cost Bitcoin to cover STRC obligations while using proceeds from new issuances to continue buying Bitcoin.

Spanish football club Osasuna attempted to hedge the impact of its relegation from the country’s top football league by buying a €1.2 million ($1.4 million) insurance policy involving a bet on the prediction market Kalshi.

The club revealed today that it purchased “insurance” from broker Howden, which would’ve guaranteed it €6 million ($6.9 million) in the event of relegation from La Liga and helped cover any subsequent financial losses. 

It said, “Documents issued by Howden and LaLiga… confirm that such policies are routinely used by clubs and sports organizations to protect against financial contingencies related to their activity.”

This comes four days after Semafor reported that an unnamed Spanish football club placed a multi-million-dollar bet using Kalshi to hedge financial losses from relegation. 

Osasuna lost its final game against Getafe 0-1. However, the goal difference was just enough to save the club from relegation. As a result, it lost the Kalshi bet but maintained its top-flight status.  

Read more: Polymarket exploited for $700K in private key hack

Semafor also reported that trading firm Susquehanna was on the other side of the Osasuna relegation trade, and that risk analysis firm Game Point Capital orchestrated the trade. Susquehanna reportedly made over $1 million.

The club doesn’t mention either firm in its statement and only references Howden, which also doesn’t mention Kalshi or any other trading firms in its published certificate. 

Osasuna added that, “The purchase of this policy was also reported to the chairman of the club’s Control Commission and will be included in a report that the commission plans to issue in the coming days about this and other current matters. The club’s auditors were also informed.”

Spain temporarily bans prediction markets 

To make matters more interesting, three days after Osasuna’s game, the Spanish government temporarily banned prediction markets like Kalshi and rival Polymarket in the country for three to four months. 

Spain’s Consumer Rights Ministry reportedly claimed that the pair failed to secure a ‌gambling licence and have been operating in the country without authorisation. 

This distinction as to whether or not the pair constitute gambling has been a hotly debated topic among regulators. 

Brazil banned Kalshi and Polymarket in April for breaching betting regulations, South Korean police are investigating Polymarket users for alleged illegal gambling, and legal cases across the US continue to argue over its regulatory status. 

The United Kingdom’s Financial Conduct Authority has proposed allowing authorized investment funds to allocate up to 10% of their assets to crypto exchange-traded notes, while keeping direct cryptocurrency ownership off limits.

According to the FCA’s 52nd quarterly consultation paper, the proposal would permit UCITS schemes and most non-UCITS retail funds to hold crypto ETNs, provided exposure remains within a 10% limit of total scheme assets.

The regulator has opened a five-week consultation period, with feedback due by July 13.

By setting a specific cap, the FCA said it intends to prevent authorized funds from taking crypto exposure large enough to alter their regulatory classification. The watchdog stated that higher allocations could push products into the category of restricted mass-market investments, creating additional requirements for funds marketed to retail investors.

Portfolio managers would also need to demonstrate that any crypto ETN holdings match a fund’s investment objectives and risk profile. The FCA added that crypto exposure exceeding a genuinely minimal level must be disclosed as a material part of the fund’s strategy.

Access expands through regulated products

Under the proposal, authorized funds would be allowed to invest in crypto ETNs listed on recognized UK exchanges as well as qualifying markets in the European Union and other jurisdictions that meet existing eligibility standards.

While the FCA is prepared to permit exposure through exchange-traded products, its position on direct cryptocurrency holdings remains unchanged.

The regulator said it is not currently considering allowing authorized funds to own crypto assets directly and will revisit the issue only after assessing the impact of the UK’s incoming crypto asset regulatory framework and client asset protection rules.

Not every investment vehicle would qualify under the proposed rules. Qualified investor schemes serving professional clients and sophisticated investors would face no allocation cap, while long-term asset funds and non-UCITS retail schemes structured as alternative investment funds would remain excluded from holding crypto ETNs.

Commenting on the proposal, Jon Allen, head of innovation and operations at the Investment Association, welcomed the FCA’s decision to permit crypto exposure through regulated ETNs.

“We welcome this sensible and pragmatic step from the FCA to allow funds to access crypto exposure through regulated ETNs as it supports innovation within a well-understood framework.”

Similar products are already available to investment funds in several European markets, including Germany, Switzerland, and the Netherlands.

Industry participants have been pressing for clarity on the issue since last year. During consultations on retail access to crypto ETNs, fund managers, depositaries, and ETN operators raised concerns that individual investors could gain exposure while many regulated funds remained effectively unable to do so.

UK crypto ETN market continues to develop

The consultation follows several regulatory changes that have gradually reopened the UK’s crypto ETN market. The FCA lifted its long-standing retail restriction on crypto ETNs in 2025, allowing individual investors to access the products after a four-year ban.

Within days of that decision, issuers including 21Shares, Bitwise, WisdomTree, and BlackRock listed physically backed Bitcoin and Ether ETNs on the London Stock Exchange.

Additional access arrived in April when fintech firm Stratiphy launched crypto ETNs through Innovative Finance ISAs, creating a tax-efficient route for investors after rule changes restricted new purchases through standard stocks-and-shares ISAs. As crypto.news reported earlier, the platform introduced ETNs issued by 21Shares covering Bitcoin, Ether, and a combined Bitcoin-gold product.

Crypto ETNs are also available through platforms including Interactive Investor, Freetrade, and Revolut, although those services do not currently offer Innovative Finance ISA access. Investments held through IF ISAs also fall outside the protection of the UK’s Financial Services Compensation Scheme.

Bitmine (BMNR), the largest Ethereum treasury company, ramped up its purchases of ether (ETH) last week, making its largest weekly purchase in 2026 as crypto prices tanked.

The firm bought 126,971 ETH over the past week, worth roughly $214 million at current prices, Bitmine said on Monday, compared to 26,497 tokens the previous week and nearly 120,000 ETH the week before.

The purchase lifted the firm’s total holdings to 5.54 million ETH, worth some $9.3 billion at current prices, according to the report. The firm also held $247 million in cash, some bitcoin and stakes in Beast Industries and Eightco Holdings.

The acquisition marks a reversal from the company’s previous call to slow down accumulation as it nears its goal to corner 5% of ether’s outstanding supply. The company now holds 4.59% of the token’s supply and is set to reach the 5% goal later this year.

“We increased our buying as we believe this pullback in ETH prices does not reflect the strengthening of Ethereum fundamentals,” Bitmine chairman Thomas Lee said in a statement.

Bitmine has remained one of the few large digital asset treasury firms still actively adding to its crypto holdings, while most peers have halted purchases and pivoted to sell as crypto prices turned sharply lower since October. That bet is sitting on an estimated $9.6 billion of paper losses as ETH fell to its weakest price in more than a year, down some 65% from its August record.

The firm also unveiled plans to issue a preferred equity class that pays dividends to raise more funds, taking a page from bitcoin-centric Strategy’s playbook.

That model, however, has come under investor scrutiny. Investors are now debating whether Strategy will be able to comfortably pay its dividend obligations or shore up liquidity as bitcoin prices fell sharply last week. STRC, the firm’s latest preferred share class, fell to $90 Friday, some 10% below its par value, underscoring those worries.