U.S. Bitcoin Funds Post Record $635.6 Million Outflow in October
Key Facts
U.S.-listed spot Bitcoin funds recorded net outflows of $635.6 million on October 22, 2026, the largest daily outflow of the month through that date, according to Farside Investors’ table. The move followed three consecutive days of inflows: $526.7 million on October 19, $23.2 million on October 20 and $524.8 million on October 21. The figures reflect a rapid reversal in daily flows after an inflow streak lasting three sessions.
Withdrawals were concentrated in a limited number of funds. IBIT recorded an outflow of $254.1 million, FBTC saw outflows of about $217.5 million, and ARKB recorded an outflow of $109.4 million. MSBT was the only fund among those listed to post an inflow, at $2.3 million. That limited inflow did not offset withdrawals from the other funds, leaving the day with a net outflow of $635.6 million. The session thus showed divergent fund flows, with most outflows concentrated in IBIT, FBTC and ARKB.
The outflows coincided with a broad decline in U.S. stocks on Thursday, with the S&P 500 falling 1.2%, its worst daily performance since July, and the Nasdaq Composite dropping 2.6%, according to the Associated Press. The agency linked pressure on artificial intelligence stocks to concerns about the rising cost of borrowing to build data centers and buy AI chips. It quoted investors as concerned about "how much it costs to borrow money to build data centers and buy more AI chips." In the bond market, the yield on the 10-year U.S. Treasury note fell to 4.97%, compared with 5.13% late Wednesday. The agency said investors bought government bonds in search of safer assets as AI stocks fell.
In energy markets, Brent crude rose 4% to $113.17 a barrel after touching its highest level in five months, according to the Associated Press. The agency attributed the rise in oil to uncertainty related to the war with Iran. Crude rose in the same session that U.S. stocks fell and Treasury yields declined. Moves in stocks, bonds and oil provide market context on the day of the large Bitcoin fund outflow, without establishing what caused investors’ decisions in those funds. Fund flows on October 22 were a standalone daily total, separate from the aggregate assets or cumulative flows shown in the table.
The flows come as the market’s products have expanded following the U.S. Securities and Exchange Commission’s approval on January 10, 2024, of the listing and trading of shares in certain spot Bitcoin products. Then-chair Gary Gensler said the commission had rejected more than 20 exchange rule filings between 2018 and March 2023 before granting approval. Gensler stressed that the decision did not endorse Bitcoin, saying, "We did not approve or endorse Bitcoin," and urged investors to be cautious about risks associated with it and products whose value is tied to cryptocurrencies. The SEC added that sponsors must provide full, fair and truthful disclosures, and that the products would be listed and traded on registered national exchanges. On October 2, 2026, the SEC approved a rule change allowing the listing and trading of shares in a three-times leveraged Bitcoin fund, among other products, on VS Trust.
Markets are looking ahead to the Federal Open Market Committee meeting scheduled for October 27 and 28, 2026, with minutes due to be published on November 18, according to the Federal Reserve’s calendar. The dates place the next meeting and its minutes among the near-term milestones after a session marked by swings in stocks, bonds and energy. The supplied Bitcoin closing data show $81,416.09 on October 22 and $81,609.07 on October 23. The October 23 reading came after the large outflow day, while Farside’s table shows a daily flow of $0.0 for that date. The October 22 net outflow of $635.6 million remained the month’s largest daily outflow through that date.