The crypto industry has been booming since the past year, and one of the major reasons is the increased interest by institutional investors. Their activities as well as other market factors have helped to spur several digital assets to unprecedented levels.
And for the past three weeks, the interests from institutional investors have skyrocketed. Despite the high volatility levels in the crypto market, many of them are still busy stuffing up crypto assets.
Reports have confirmed that crypto exchange-traded products (ETP) capitalization has surged by 90% within this period.
It also reflected on the increase in the assets under management (AUM), which was noted by Crypto Compare in its last report. According to the report, there is an estimated $36 billion now invested in ETPs, which is a 97% increase within the past month.
Grayscale Investments alone housed over 83% in its various AUM trusts, with the company’s Bitcoin Trust claiming 63% of the total, or $22.6 billion of the invested capital in crypto ETPs.
According to Crypto Compare, the volume of ETP tripled this month, as aggregate daily volume rose above $1.5 billion. Once again, Grayscale took the major share of the volume, reaching $972 million in daily trade, representing 64% of the total.
Grayscale underperformed in the spot market
There is no doubt that Grayscale bossed the market when it comes to trading volume. But the company performed below par when it comes to the spot market. Grayscale’s historic premium Shares dropped by 8% this month.
ETNs rose by 300%
The trade volume of crypto exchange-traded notes rose by close to 300% over the month, with BTCE from ETC Group dominating ETN volumes. The product hit nearly $50 million in daily trade, which represents about 65% of the total ETN volume.
The second-most traded was the BTCW/USD of WisdomTree, with a trading volume of $7 million. It’s rise to second spot surprising, as the product has been maintaining between 5th and 10th positions when it comes to ETN volume.
However, it’s surprising rise to the second-most traded volume is a result of a 210% increase in trading volume. Vanek’s Bitcoin Vectors came third o the list of most-trading ETN volumes with $5 million after an impressive 500% rise in volume.
