Recent analytics have revealed that crypto ETPs (Exchange Traded Product)’s assets under management have grown near to around $44 Billion in value despite the drop of 37.8% in trade volumes.
Data from a recent Digital asset management review by CryptoCompare shows that the assets that fall under management, covering all exchange trade products, have had an increase of 50%, showing a great level of growth rate, reaching a high more than $50 Billion as of February 2021. The upward trend of the ETPs started at almost $10.5 Billion from the mid half of 2020 and has been increasing since. It was in Mid Jan 2021 that the ETPs got a significant boost, keeping in mind the recent substantial rise in popularity and value of crypto in general.
The review also mentioned that ETP volumes decreased even after the recent Bitcoin boom falling from a staggering $1.5 Billion to around $900 Million, but despite all that, the overall value of the assets under management still raised.
Bitcoin ETF (BITW) Leading at the Front
Bitwise’s listed trust product (BITW) proved to be the top-performing bitcoin ETF, beating the Bitcoin/USD index provided by CryptoCompare. BITW provided 15% 30-day returns, also overtaking the market cap of the MVDA index, which tracks the combined performance of 100 of the largest crypto assets. ETPs such as Classic Ethereum Trust by Grayscale topped the charts, being the most traded liquidated ETP, efficiently providing more than 100% in returns.
Another one of Grayscale’s Ethereum trust products (ETHE) also managed to overtake other ETP products providing more than 34% in 30-day returns, reaching just short of 10% behind the CCCAGG ETH/USD index. Reports have marked the TOP 15 ETPs by volume that includes (ETHE), 3iQ’s (QBTC), ETH markets by XBT Providers, and many others, but it seems that only (ETHE) has shown positive performance as other ETPs are not performing as expected, providing discounts of over 11% in comparison to original asset values.
Although it’s not such a big deal, having products at a discount surely does affect the overall expected profit margins, hindering the ability to venture out, looking for other potentially beneficial opportunities, or even conduct the release of further expansion projects.