Crypto ETF Complex Hit by Selling Spree in First Big Stress Test

Investors yanked nearly half a billion dollars from cryptocurrency-linked funds as a global market meltdown sparked the first major selloff for the speculative asset class since it went mainstream via ETFs earlier this year.

Exchange-traded funds that invest directly in Bitcoin have had four straight days of outflows, totaling roughly $423 million, according to data compiled by Bloomberg. The outflows contributed to the worst weekly exodus since early May for the batch of nearly a dozen spot ETFs that launched in January.