Star Metro - Global Digital Asset-Based Exchange Traded Products AUM Shows 68% Rise YoY Despite 19% Drop in February

In February, the AUM of digital asset ETPs declined by 18.6% from $166.6 billion at the start of the month. Meanwhile, the total market capitalization of digital assets dropped by 20.7% to $2.90 trillion from $3.66 trillion at January's close.

Despite challenging market conditions, digital asset ETPs that include Exchange Traded Funds (ETFs) and Exchange Traded Notes (ETNs), maintained a premium over the broader market. This resilience underscores the strong demand for digital asset ETPs, even amid high selling pressure.

"The resilience of digital asset ETPs in the face of selling pressure speaks volumes," said Fineqia's CEO, Bundeep Singh Rangar. "Premiums remain intact, underscoring investors' confidence in these structured products as the preferred way to tap into the crypto market."

In February, BTC's price fell by 17.8%, reaching $84,030 from $102,196. Over the same period, the AUM of BTC ETPs decreased by 16.1% to $116.3 billion from $138.6 billion. During the last 12 months, the AUM of ETPs holding BTC as underlying increased by 92.1%, up from $60.6 billion at the end of February 2024. The data reflects a strong long-term growth trajectory despite recent market volatility.

Ethereum (ETH) saw a 32.7% price decline in February, falling to $2,215 from $3,293 at the end of January. Similarly, the AUM of ETH ETPs decreased by 33.6% to $10.7 billion from $16.0 billion. The near-perfect correlation between ETH price movements and ETP AUM fluctuations suggests neutral flows for the month, extending the trend observed in January.

Year on year, the AUM of ETPs holding ETH as underlying decreased by 24.2%, to $10.7 billion from $14.0 billion. During the same time, ETH price dropped 36.2% to $2,215 from $3,473 at the end of February last year. This indicates sustained demand for digital asset ETPs despite negative price action, reinforcing broader investors' interest beyond BTC.

ETPs representing a diversified basket of cryptocurrencies experienced a 24.1% decrease in AUM during February, dropping to $3.57 billion from $4.71 billion. In the last 12 months, the AUM grew 16.5% from $3.07 billion.

The AUM of ETPs tracking an index of alternative coins dropped 24.7% in February reaching $5.13 billion from $7.23 billion at the end of January. YoY, however, the AUM of altcoins ETPs rose by 81.5% from $2.83 billion.

Fineqia Research's AUM calculation factors in the launch or closure of ETPs during any stated period. The number of tracked ETPs stood at 241 as of end of February.

All references to price are quoted in USD, and the cryptocurrency prices are sourced from CoinMarketCap and CoinGecko.

The ETP and ETF AUM data referenced in this announcement were compiled from reputable sources, including 21Shares AG, Grayscale Investment LLC, VanEck Associates Corp., Morningstar, Inc., and TrackInSight SAS, by Fineqia's dedicated in-house research department.

About Fineqia International Inc.

Publicly listed in Canada (CSE: FNQ) with quoted symbols on Nasdaq (OTC: FNQQF) and the Frankfurt Stock Exchange (Frankfurt: FNQA), Fineqia provides investors with institutional grade exposure to opportunities from blockchain based Decentralized Finance (DeFi). Its European subsidiary is an issuer of crypto asset backed Exchange Traded Notes (ETNs) such as the Fineqia FTSE Cardano Enhanced Yield ETN (Ticker: YADA; ISIN: LI1408648106), and its UK unit is an adviser to Actively Management Certificates (AMCs) in Europe, such as the Digital Asset Blockchain Infrastructure (DABI) one. Fineqia has investments in businesses tokenizing Real-World Assets (RWAs), dApps, DeFi and blockchain protocols. More info at www.fineqia.com, x.com/FineqiaPlatform, linkedin.com/company/fineqia/, medium.com/@Fineqia, and @fineqia.bsky.social.

FOR FURTHER INFORMATION, PLEASE CONTACT:

Aayushi Jain, Marketing Manager
E. [email protected]
T. +44 78778 60812

FORWARD-LOOKING STATEMENTS

Some statements in this release may contain forward-looking information (as defined under applicable Canadian Securities Laws) ("forward-looking statements"). All statements, other than of historical fact, that address activities, events or developments that Fineqia Intl. (the "Company") believes, expects or anticipates will or may occur in the future (including, without limitation, statements regarding potential acquisitions and financings) are forward-looking statements. Forward-looking statements are generally identifiable by 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 on these words or comparable terminology. 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, that may cause the actual results of the Company to differ materially from those discussed in the forward-looking statements. Factors that could cause actual results or events to differ materially from current expectations include, among other things, without limitation, the failure to obtain sufficient financing, and other risks disclosed in the Company's public disclosure record on file with the relevant securities regulatory authorities. Any forward-looking statement speaks only as of the date on which it is made except as may be required by applicable securities laws. The Company disclaims any intent or obligation to update any forward-looking statement except to the extent required by applicable securities laws.

DISCLAIMER:

Crypto assets are unregulated investment products prone to sudden and substantial value fluctuations, presenting a high risk of total loss of the invested capital. As the underlying components of the Digital Asset Blockchain Infrastructure (DABI) Actively Managed Certificate (AMC) are unregulated, investors are unlikely to have access to regulatory protections or investor compensation schemes. If you are unsure whether these assets are suitable for your individual circumstances, it is highly recommended to obtain independent financial and legal advice.

The information presented herein is not intended as a financial promotion. This material has been produced for circulation to a limited number of professional investors and journalists.

SOURCE: Fineqia

View the original press release on ACCESS Newswire

N.Fournier--SMC