Crypto ETF Investors Pull Back After $6.4 Billion Binance Hack

U.S. spot Bitcoin ETFs recorded their largest outflow of October in the first full trading session after attackers began draining roughly $6.4 billion from Binance. The selling spread across major crypto funds, with Solana ETFs posting a fifth consecutive day of outflows as market sentiment turned defensive.

Bitcoin Funds Reverse Course

U.S. spot Bitcoin ETFs lost $643.2 million on Friday, according to Decrypt’s ETF tracker. The session was the first opportunity for ETF investors to respond fully to Thursday’s hack, which began after U.S. markets had closed.

The outflow erased a four-day run of approximately $441 million in inflows. For the week, Bitcoin funds were down about $202 million, while October losses reached roughly $516 million. Cumulative net inflows since the products launched in January 2024 slipped to $57.4 billion, with total net assets standing at $103.2 billion.

Bitcoin itself fell approximately 4% on Friday before stabilizing near $77,520 on Saturday. The ETF reversal suggested that investors using traditional brokerage channels were reducing exposure as the hack raised broader concerns about crypto-market risk.

Ethereum and Solana Also See Outflows

The pressure was sharper relative to the size of Ethereum and Solana funds. Ethereum ETFs lost $155.7 million on Friday, extending a five-day outflow streak to approximately $431 million. Their October losses reached roughly $1.61 billion.

Solana ETFs shed $10.8 million on Friday and recorded their fifth straight day of outflows. Across the week, Solana funds lost approximately $72 million and registered net inflows on only two days during October.

• Bitcoin ETFs: $643.2 million outflow on Friday; $202 million weekly net outflow.
• Ethereum ETFs: $155.7 million outflow on Friday; $431 million outflow across five sessions.
• Solana ETFs: $10.8 million outflow on Friday; $72 million outflow across the week.

ETF flows are closely watched because the products hold the underlying assets while trading on stock exchanges, allowing institutions and financial advisers to gain exposure through ordinary brokerage accounts. Ethereum funds have attracted $12.2 billion in cumulative net inflows since launching in July 2024.

What This Means

The synchronized withdrawals point to a broad risk reduction rather than an isolated reaction in one token market. For Solana, the week’s outflows indicate that ETF investors remained cautious even as the immediate shock from the Binance hack moved through the wider crypto market.

The figures do not establish whether investors were responding specifically to the theft or to the accompanying decline in crypto prices. However, the scale and breadth of the withdrawals make daily ETF flows an important near-term indicator of institutional sentiment. Continued outflows could add pressure to Bitcoin, Ethereum, and Solana, while a return to inflows would signal that investors view the security event as contained.