Check out below the latest research on cryptocurrency ETPs from Fineqia (CSE:FNQ), a publicly traded digital asset and fintech investment firm.
Fineqia International, a leading digital asset and fintech investment firm, announced that its analysis of global exchange-traded products (ETPs) backed by digital assets showed a 5% increase in total cryptocurrency assets under management (AUM) in January. I did. $49.5 billion to $52 billion.
In the same month, the market value of cryptocurrency assets decreased 2.7% from $1.77 trillion to approximately $1.73 trillion. The difference between the cryptocurrency ETP AUM growth rate and the cryptocurrency market value is mainly due to the increase in capital following the approval of the BTC spot ETF (Exchange-Traded Funds) traded in the United States, which began trading on January 11th. Flows into crypto ETPs.
Among the 10 BTC spot ETFs, which include issuers like Blackrock, 21Shares, Grayscale, and others, there were 9 new issuances as Grayscale Trust (GBTC) converted to an ETF. The nine newly issued products saw inflows of about $6.9 billion in January, partially mitigated by net outflows from the Grayscale ETF. Nonetheless, total flows resulted in net inflows exceeding $1 billion in January.
BlackRock’s iShares Bitcoin Trust (IBIT) has amassed $3.2 billion in the first 17 days since its launch on January 11, surging to one of the top five ETFs of 2024 by inflows, according to a report by Bloomberg Intelligence. The 10 BTC ETFs approved in January are taking advantage of Google’s changed marketing rules that allow ads displaying “cryptocurrency coin trust” to appear alongside search results such as “Bitcoin ETF.”
“The light has turned green and (investor) traffic is starting to move,” said Fineqia CEO Bundeep Singh, referring to the approval of the BTC Spot ETF in the US. “As confidence in digital assets grows, more drivers are joining the ETF road.”
In January, the BTC price rose 2.5% from $42,300 at the end of last year to $43,300. The AUM of ETPs with BTC as their underlying asset increased 6.8% in January to $38 billion from $35.6 billion recorded at the end of December 2023. These figures highlight the significant net inflows observed in January, especially following BTC Spot. ETF approved.
Ethereum (ETH) rose 3.9% from $2,277 recorded at the end of December 2023 to $2,365 in January. During the same period, ETH-denominated ETP AUM increased 1.9% from $9.4 billion to $9.6 billion as of December 31, 2023.
ETPs, which represent a diverse basket of cryptocurrencies, recorded AUM of $2.17 billion in January, down 3.6% from $2.25 billion recorded at the end of 2023.
ETP, which represents the alternative coin index, amounted to $2.22 billion in January, down 0.3% from $2.23 billion at the beginning of the year.
ETPs include exchange-traded funds (ETFs) and exchange-traded notes (ETNs). Fineqia Research’s AUM calculation factors affect the launch or termination of an ETP during the stated period. The number of tracked ETPs reached 180 as of the end of January. All references to prices are in USD and cryptocurrency prices are provided by CoinMarketCap and CoinGecko. The ETP and ETF AUM data referenced in this announcement was obtained from Fineqia’s dedicated internal research department, including 21Shares AG, Grayscale Investment LLC, VanEck Associates Corp., and Morningstar, Inc. and TrackInSight SAS.