Institutional investors have invested a total of $3.2 billion in cryptocurrency markets, bringing the total annual investment flow to $44.5 billion, setting a new record.
According to the latest CoinShares report, institutional investors invested a total of $3.2 billion in digital asset investment products last week. This huge investment flow increased the total annual investment amount to $44.5 billion. CoinShares stated that digital asset investment products received net inflows for the tenth week in a row. In addition to the weekly net inflow of $3.2 billion, the trading volume of investment products traded on exchanges showed a significant growth, reaching $21 billion. This figure corresponds to 30% of the volume of Bitcoin traded on reliable exchanges. The report also drew attention to the fact that Bitcoin transactions on reliable exchanges reached an average of $8.3 billion per day throughout the year. This amount is equal to twice the Financial Times Stock Market Index (FTSE 100).
Investments in Bitcoin have reached $38 billion, while Ethereum has received $1 billion in investment flows so far. There has also been great interest in the altcoin market. The expectation of an XRP ETF in the US has provided $145 million in investment flows. Polkadot and Litecoin have attracted attention by receiving $3.7 million and $2.2 million in investment, respectively.
According to the report, all world regions received a share of the crypto investment flow. The United States ranked first with $3.1 billion in investments, followed by Switzerland with $36 million and Germany with $33 million. Brazil stood out with $25 million in investment flow.
The CoinShares report emphasized that demand for investment products, especially Bitcoin and Ethereum, has increased. These two digital assets continue to be the most preferred among institutional investors. The high interest in Bitcoin and Ethereum supports stability in the market, while other altcoins also show great growth potential.
The high demand for crypto investment products increases liquidity, making it easier to trade. This allows a wider range of investors to enter the market. The ever-increasing interest of institutional investors indicates that crypto markets will grow even more in the future.