Investors are piling into bearish cryptocurrency bets, wagering that the collapse of Sam Bankman-Fried’s crypto empire will further ravage one of this year’s worst-performing asset classes. 

Short-Ether and Bitcoin exchange-traded products dominated inflows into crypto ETPs in the past week, data compiled by Bloomberg show. At the same time, digital-asset ETPs’ total assets dropped to just under $22 billion, a two-year low. 

The flows indicate investors see no end in sight to the havoc brought on by the bankruptcy of Bankman-Fried’s FTX Group, which is already tearing through the sector. Crypto brokerage Genesis is warning potential investors that it might go bankrupt as well if it fails to raise emergency funding, Bloomberg News reported Monday. 

The 21Shares Short Ethereum ETP saw the biggest weekly inflow among products tracked by Bloomberg at $14.2 million. The ETP has rallied 37% since just before FTX started buckling early this month amid revelations about its relationship with Bankman-Fried’s now-defunct trading house Alameda Research. 

Investment vehicles wagering on declines accounted for three-quarters of all weekly inflows into crypto ETPs, according to digital-asset manager CoinShares. The data suggests “aggregate sentiment was deeply negative for the asset class, likely being a direct result of the ongoing fallout from the FTX collapse,” James Butterfil, head of research at CoinShares, said in a note published Monday. 

The MVIS CryptoCompare Digital Assets 100 Index tracking the largest tokens has tumbled 66% this year. Bitcoin was trading at around $15,700 at 11:30 a.m. in London on Tuesday, while Ether hovered around $1,080.  – BLOOMBERG