Global AUM of digital asset ETPs grows 53% year-to-date despite decline in the quarter

2023-10-06 21:14:21

London (ots/PRNewswire) – According to Fineqia International Inc. (“Company” or “Fineqia”) (CSE: FNQ) (OTC: FNQQF) (Frankfurt: FNQA), a leader in digital assets and fintech investments, the total assets under management (AUM) of ETPs (Exchange Traded Products) reflecting digital assets have risen 53% year-to-date as a result of continued demand from investors. This was revealed by a global analysis conducted by Fineqia. On a quarterly basis, AUM fell 13% in the third quarter after rising 67% and 5% in the first and second quarters, respectively.

Year-to-date, AUM shows premium growth of 18%, compared to the underlying value of digital assets, which grew more slowly at 45%. In September, total assets under management grew 1% from $30.2 billion to $30.5 billion. In the same month, the market value of digital assets increased by 7%, from $1.08 trillion to about $1.15 trillion.

“Bitcoin rose in September. This contrasted with same-month price declines in recent years, as well as monthly declines in September this year for many traditional assets such as global bonds, US Treasuries and S&P 500 stocks,” reports Bundeep Singh Rangar, CEO at Fineqia. “The cryptocurrency offered investors the opportunity to offset an otherwise difficult market.”

The price of Bitcoin (BTC) rose 4% to $27,000 in September, compared to $26,000 on August 31. The AUM of ETPs holding BTC increased by 1.8% from $21.3 billion to $21.7 billion. Year-to-date, the AUM of ETPs holding BTC has increased by 59.7%, although there was a 12.7% decline in the third quarter. The BTC price clearly reflected this development, falling by 11.4% in the third quarter.

In September, the value of Ethereum (ETH) rose 1.8% to $1,675 from $1,646 at the end of August. Ethereum (ETH)-denominated ETP AUM fell 0.6% to $6.7 billion on September 30, compared to $6.8 billion the previous month. On a quarterly basis, the AUM of ETPs holding ETH fell by 14.2%. Likewise, ETH trading prices fell by 13.3%. Year-to-date, the AUM of ETPs holding ETH has increased by 35.4%.

For ETPs, which represent a diversified basket of cryptocurrencies, AUM fell 3.2% in September, with an overall decline of 11.5% in the third quarter. Despite this decline, basket ETPs saw a 32% year-to-date increase in AUM. ETPs, which represent an index of alternative coins, rose 2.3% in September, while there was a 14.2% decline in the third quarter. Year to date, ETPs holding individual altcoins have seen the weakest growth compared to other digital asset categories, with AUM increasing by 9.5%.

ETPs include exchange-traded funds (ETFs) and exchange-traded notes (ETNs). Fineqia Research’s AUM calculation takes into account the launch or closure of ETPs during a specified period. The number of ETPs analyzed was 169 at the end of September, a slight increase from 162 at the beginning of the year.

All pricing is in US Dollars and all cryptocurrency trading prices are sourced from CoinMarketCap.

The ETP and ETF AUM data mentioned in this announcement was compiled from reputable sources including 21Shares AG, Grayscale Investment LLC, VanEck Associates Corp., Morningstar, Inc. and TrackInSight SAS by Fineqia’s own research department.

Information about Fineqia International Inc.

Phoenicia (www.fineqia.com) is a digital assets company that specifically invests in early-stage or growth-stage technology companies that will be part of the next generation of the Internet. It also provides a platform to support and manage the issuance of debt securities in the UK. The Canadian Stock Exchange-traded company (CSE: FNQ), with offices in Vancouver and London, includes businesses that are leaders in tokenization, blockchain technology, NFTs, AI and fintech.

Forward-Looking Statements

Some statements in this press release may contain forward-looking information (within the meaning of applicable Canadian securities laws) (“forward-looking statements”). All statements that are not historical facts relate to activities, events or developments in which Fineqia (the “Company” ) believes, expects or anticipates that these will or may occur in the future (including, but not limited to, statements regarding potential acquisitions and financings) are forward-looking statements. Forward-looking statements are generally identified by the use of the words “may”, ” “will”, “should”, “continue”, “expect”, “anticipate”, “estimate”, “believe”, “intend”, “plan” or “project” or the negative of these words or other variations of these words or comparable ones Terminology Identifiable Forward-looking statements are subject to a number of risks and uncertainties, many of which are beyond the Company’s ability to control or predict. These could cause the Company’s actual results to differ materially from those expressed in the forward-looking statements. Factors that could cause actual results or events to differ materially from current expectations include, without limitation, the failure to obtain sufficient financing, as well as other risks discussed in public disclosures filed with applicable securities regulatory authorities of the company are listed. Any forward-looking statement speaks only as of the date on which it is made, except as required by applicable securities laws. The Company disclaims any intention or obligation to update any forward-looking statements except as required by applicable securities laws. Crypto assets are generally unregulated, are subject to the risk of sudden and significant changes in value and carry a high risk of a total loss of the investment. Because these are unregulated assets, it is unlikely that investors will be entitled to regulatory protections or investor compensation schemes. If you are unsure whether these assets are suitable for your circumstances, you should seek independent financial and legal advice. Fineqia Inc. is not a crypto asset exchange and is not registered as such with any authority. This material constitutes general economic commentary and does not constitute a recommendation to buy, sell or otherwise trade any of the assets discussed.

Questions & Contact:

Media contact:
Medienkontakte: Angus Campbell, Name Advisory, [e-mail]; Athraa Bheekoo, Luna PR, [e-mail], Katarina Kupcikova, Analyst, E-Mail: [e-mail], Telephone: [phone]
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