Following the lawsuits against Binance from the SEC, the exchange and its CEO have filed a motion of dismissal.
The digital asset investments across sectors is looking at a low level since the middle of last year – with cryptocurrency assets under management (AUM) by institutional funds looking at a $38 billion USD level. This comes after crypto products saw $141 million USD in outflows last week.
As noted by CoinShares weekly market report Digital Asset Fund Flows, Bitcoin-related products were the main point of outflows, with Bitcoin products facing a decline of $154 million USD over the week. This comes at a time when Bitcoin is experiencing sideways trading with the market concerned of a long-term bear run looming. Bitcoin might have tagged an all-time high of nearly $70,000 USD in November last year, but the leading crypto token is currently to break and hold anything above $32,000 USD.
The market might have seen outflows of Bitcoin-related products but the multi-asset (multi-crypto) investment products brought in $9.7 million USD as inflows to the market. As per CoinShares report, this represents 5.3% of the inflows year-to-date for digital assets under management. The yearly total inflow of the multi-crypto products is now $185 million – an increase over the year.
According to CoinShares, the increased volatility could be a reason for investors to sell their Bitcoin-primary products and move to multi-asset products instead:
“The ongoing volatility has led to fickle investors with some seeing this as an opportunity while the aggregate sentiment is predominantly bearish…Bitcoin was again the primary focus with a swing from inflows the prior week to outflows totalling US$154m last week…Multi-asset (multi-crypto) investment products remain the stalwart with inflows totalling US$9.7m last week.”
As per CoinShares’ report, two altcoins worth noting are Cardano (ADA) and Polkadot (DOT) which brought the industry inflows of $1 million USD increases, with Solana (SOL) looking at $500,00 USD inflows. Other altcoins, including Ethereum are lacking the performance of previous years. Ethereum (ETH) stands as the weakest token in terms of investment, with the leading alt coin looking at $44 million USD in outflows this year.