According to CoinShares, a digital asset investment management company, so far in 2021, the inflow of institutional-level encrypted asset investment products has reached a record level.
According to Coinshares’ weekly fund flow report on March 15th, inflows to cryptocurrency funds increased by 7.7% in the first quarter and reached 4.2 billion U.S. dollars, breaking the quarterly record of 3.9 billion U.S. dollars in the fourth quarter of 2020.
There are currently 5 digital asset investment providers with more than $1 billion in assets under management: Grayscale, CoinShares, 3iQ, ETC Issuance and 21Shares. The report shows that the newly established Purpose Bitcoin Fund ranks sixth with an asset management scale of US$517 million.
The report pointed out that the crypto asset investment fund closed on March 12 (Friday), with assets under management reaching a record 55.8 billion U.S. dollars. The price trend in the previous week was bullish. The inflow of such investment products was US$242 million, an increase of 124% from the US$108 million in the previous week.
Although Bitcoin is still the dominant asset, as the popularity of crypto assets among institutional investors has increased, so has the flow of funds into Ethereum investment products. In the week ending March 12, there was an inflow of US$113.5 million, accounting for almost 50% of the total.
The report shows that the weekly inflow of funds from multi-asset funds is 3.6 million U.S. dollars, and the total asset management scale is 2.3 billion U.S. dollars. The only digital asset product whose inflow decreased this week was based on Ripple, which had flowed out $1 million during this period.
The report pointed out that the Bitcoin trading volume on trusted exchanges was slightly higher than the average, at $11.8 billion per day, while the average daily trading volume in 2021 was $10.8 billion.
Grayscale, the world’s leading crypto asset fund, stated in its latest announcement that its assets under management are US$42.9 billion, of which 84% are its popular Bitcoin trust funds.
Author/ Translator: Jamie Kim
Bio: Jamie Kim is a technology journalist. Raised in Hong Kong and always vocal at heart. She aims to share her expertise with the readers at blockreview.net. Kim is a Bitcoin maximalist who believes with unwavering conviction that Bitcoin is the only cryptocurrency – in fact, currency – worth caring about.