Digital Asset Management Review

InJuly, the sentiment surrounding digital asset products was mixed. The month began with the SEC deeming the initial spot Bitcoin ETF filings insufficient, causing uncertainty within the market. However, this was reconsidered later inthe month, with the SEC's acceptance of several ETF filings (for review) bolstering market confidence.

Key Findings

• The US retains its position as a leading country in the digital asset space by AUM, with a monthly AUM in July of $26.3 billion and a market share of 78.0%. This is vastly dominated by Grayscale, which accounts for ~74% of this share. Excluding Grayscale, the digital asset landscape paints a different picture, with Europe taking the lead in terms of AUM.
• XLM, XRP and SOL-Based Investment Products See Spike in Activity: XLM-based products increased by 62.7% to $17.3 million in AUM, following a significant spike in Grayscale’s XLM product, which recorded a premium of over 330%. Additionally, XRP and SOL-based products recorded increases in AUM of 33.2% and 55.7% to $65.7 million and $87.8 million, respectively.
• In terms of product volumes, ProShares BITO dominated volumes with $179 million in average daily volumes, an increase of 2.96% from June. Grayscale’s GBTC and ETHE followed, with an average daily volume of $83.0 and $31.0 million a 29.7% and 60.4% increase, respectively.

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