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- The AUM of crypto exchange-traded products (ETPs) recently surged close to $44 billion
- All the crypto ETP assets under management escalated by 50%
- The institution’s Ethereum Trust product (ETHE) was allegedly a disappointment in terms of performance
The concept of assets under management (AUM) refers to the total value of other humans’ money that a person or institution regulates. In some contexts, assets under management involve the total value of assets that an institution handles for all customers.
The Historic Surge of Crypto ETP Assets Under Management
The AUM of crypto exchange-traded products (ETPs) recently surged close to $44 billion. Though the trading volumes witnessed a plunge as compared to the previous month, the surge did make it through despite the plunge.
According to the report detailing CryptoCompare’s Digital Asset Management Review, all the crypto ETP assets under management escalated by 50% to $43.9 billion, notwithstanding the trading volume of these commodities falling by 37.8% to $936 million.
The Performance of Other ETPs
The report states that despite Bitcoin striking a record high of over $58,000, ETP volumes witnessed a decrease. The average regular trading volume went down from $1.51 billion to a value of $936 million. Bitwise’s Listed Trust Product (BITW) was the best functioning Bitcoin ETF as it held 15% 30-day returns. It significantly outshone the index of CryptoCompare’s CCCAGG BTC which surged by 64%.
BITW also exceeded the performance of the MVDA index. The latter refers to a market-cap-weighted index that traces the activity of a series of the 100 biggest crypto-assets per the market capitalization. The MVDA index recently rose 48.9% within the same period. The most transparent ETPs by trading volume involved Grayscale’s Ethereum Classic Trust (ETCG).
The institution’s Ethereum Trust product (ETHE) was allegedly a disappointment in terms of performance. It witnessed a mere worth of 34.8% 30-day returns. The review highlights that the leading 15 ETPs by volume involve popular spaces such as Grayscale’s ETHE trust, and 3iQ’s Bitcoin Fund (QBTC).
Since the past month, these products are earning a market premium status of a historic plummeting. At one point, the 3iQ’s QBTC-U Bitcoin Fundat traded at a discount of 11.1% relative to its net asset worth.
Other News
In other news, BNB lost about 22% over the last week. This paved the path for ADA’s uptrend to dethrone the former from the rankings of the three largest cryptocurrencies. ADA witnessed a volatile price performance in the past few weeks. However, it recently managed to confront the markets and escalate its price during an annihilation generated by Bitcoin’s largest price plunge in history, displacing BNB’s position in the process.
Exchange-traded products (ETP) refer to kinds of securities that trace fundamental security, index, or financial tools. ETPs trade on trading platforms similar to how stocks function. The value of ETPs varies from day-to-day and even within a day.
Steve Anderson is an Australian crypto enthusiast. He is a specialist in management and trading for over 5 years. Steve has worked as a crypto trader, he loves learning about decentralisation, understanding the true potential of the blockchain.
