European Bitcoin ETFs saw a net outflow of $500 million this year, struggling against the low fee competition from the United States

ChainCatcher news, despite the rising demand for Bitcoin, European Bitcoin exchange-traded products (ETPs) have faced a net outflow of $500 million this year. Since January, European Bitcoin funds have seen a net outflow of over $500 million, while other cryptocurrencies like Ethereum's ETPs have attracted $42 million in the region. Pierre Debru, head of quantitative research at WisdomTree, stated that after the launch of Bitcoin ETFs in the U.S., interest from European ETP clients has increased, but it has also brought unprecedented competition, forcing European issuers to lower fees. For example, BlackRock and Fidelity now offer an annual management fee of 0.25%, while European Bitcoin ETP providers like Invesco, WisdomTree, and CoinShares have reduced fees to below 0.4%. Funds that failed to lower fees have performed poorly, such as Grayscale Bitcoin Trust (GBTC) and Canada's Purpose Bitcoin ETF, both of which have lost significant assets due to high management fees. Martijn Rozemuller, CEO of VanEck Europe, stated that despite the intensified competition, the company's regional crypto ETF has still seen a small inflow.