{"id":97750,"date":"2024-10-25T12:15:15","date_gmt":"2024-10-25T16:15:15","guid":{"rendered":"https:\/\/coinscreed.com\/staging\/?p=97750"},"modified":"2024-10-25T12:16:34","modified_gmt":"2024-10-25T16:16:34","slug":"retail-investors-demand-80-of-bitcoin-etfs","status":"publish","type":"post","link":"https:\/\/coinscreed.com\/staging\/retail-investors-demand-80-of-bitcoin-etfs\/","title":{"rendered":"Binance: Retail Investors Demand\u00a080% of Bitcoin ETFs"},"content":{"rendered":"\n

Binance reports that retail investors, not institutions, have driven spot bitcoin ETF<\/a> demand since debut.<\/p>\n\n\n\n

\"Binance:<\/figure>\n\n\n\n

Retail investors account for the majority of demand for spot Bitcoin exchange-traded funds (ETFs), according to recent research by Binance.<\/p>\n\n\n\n

In an October 25 report\r\n \r\n \r\n \r\n <\/g>\r\n \r\n \r\n \r\n <\/clipPath>\r\n <\/defs><\/svg><\/span><\/a> on crypto ETFs, Binance revealed that as of October 10, nearly 80% of the total assets under management (AUM) in spot BTC ETFs were held by non-institutional investors.<\/p>\n\n\n\n
\"\"

Retail investors account for nearly 80% of the total spot Bitcoin ETF AUM. Source: Binance<\/em><\/figcaption><\/figure>\n\n\n\n

Since the launch of spot Bitcoin ETFs in January 2024, a milestone for the crypto industry, they\u2019ve accumulated $21.6 billion in net inflows over the past 10 months. <\/p>\n\n\n\n

However, Binance analysts pointed out that much of the $63.3 billion in total AUM since the ETFs\u2019 inception was not all new investment<\/a>. <\/p>\n\n\n\n

Instead, it appears \u201ca notable portion\u201d of this demand came from retail investors moving their holdings from digital wallets and exchanges to ETFs, which offer more regulatory protections.<\/p>\n\n\n\n

Binance wrote, \u201cSpot ETFs are serving dual roles: not only onboarding new investors but also attracting existing investors who prefer the regulated structure of ETFs over other, more complex options, such as direct on-chain holdings or illiquid, high-fee alternatives like Grayscale\u2019s Bitcoin Trust.\u201d<\/p>\n\n\n\n

Institutional Demand is Rising<\/h2>\n\n\n\n

Though retail investors represent the largest share of Bitcoin ETF investments, Binance noted an uptick in interest from institutional investors, particularly from investment advisers and hedge funds.<\/p>\n\n\n\n

\"\"
Investment advisers and hedge funds are the most Bitcoin ETF-interested institutions. Source: Binance<\/em><\/figcaption><\/figure>\n\n\n\n

Many traditional institutions are still cautious about Bitcoin funds, and those invested remain \u201creserved\u201d with their capital allocations. <\/p>\n\n\n\n

While several large financial firms have sought to capitalize on the Bitcoin ETF surge, U.S.-based investment firm Vanguard has been notably reluctant. <\/p>\n\n\n\n

As the world\u2019s second-largest ETF issuer, Vanguard has consistently declined to launch Bitcoin or crypto ETFs. CEO Salim Ramji reaffirmed this position on August 14, stating the company will \u201cnot be launching any crypto ETFs.\u201d<\/p>\n\n\n\n

According to Binance, this \u201ccautious approach\u201d reflects how traditional finance firms generally interact with the crypto space. <\/p>\n\n\n\n

\n

\u201cAlthough institutions are expected to drive trade sizes higher over time, there hasn\u2019t been a material change over the year, likely due to volatile market conditions and global liquidity uncertainties,\u201d the report observed.<\/p>\n<\/blockquote>\n\n\n\n

Bitcoin ETF Inflows Surge, With Potential Price Impact<\/h2>\n\n\n\n

Recently, Bitcoin ETFs have experienced an \u201cunusually large\u201d series of inflows, which has led one analyst to caution about a potential price dip for Bitcoin in the near term. <\/p>\n\n\n\n

Between October 11 and 23, spot Bitcoin ETFs attracted $2.88 billion in inflows, with only one day of outflows on October 22, totaling $79.1 million \u2014 a relative outflow of just 2.7%, as reported by Farside data.<\/p>\n","protected":false},"excerpt":{"rendered":"

Binance reports that retail investors, not institutions, have driven spot bitcoin ETF demand since debut. Retail investors account for the majority of demand for spot Bitcoin exchange-traded funds (ETFs), according to recent research by Binance. In an October 25 report on crypto ETFs, Binance revealed that as of October 10, nearly 80% of the total […]<\/p>\n","protected":false},"author":56,"featured_media":97781,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_jetpack_memberships_contains_paid_content":false,"footnotes":""},"categories":[21],"tags":[326,152,1613,376,1964,3867],"class_list":["post-97750","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-news","tag-binance","tag-bitcoin","tag-bitcoin-etf","tag-cryptocurrencies","tag-investments","tag-retail"],"jetpack_featured_media_url":"https:\/\/coinscreed.com\/staging\/wp-content\/uploads\/2024\/10\/Binance-Retail-Investors-Demand-80-of-Bitcoin-ETFs.webp","jetpack_sharing_enabled":true,"_links":{"self":[{"href":"https:\/\/coinscreed.com\/staging\/wp-json\/wp\/v2\/posts\/97750","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/coinscreed.com\/staging\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/coinscreed.com\/staging\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/coinscreed.com\/staging\/wp-json\/wp\/v2\/users\/56"}],"replies":[{"embeddable":true,"href":"https:\/\/coinscreed.com\/staging\/wp-json\/wp\/v2\/comments?post=97750"}],"version-history":[{"count":0,"href":"https:\/\/coinscreed.com\/staging\/wp-json\/wp\/v2\/posts\/97750\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/coinscreed.com\/staging\/wp-json\/wp\/v2\/media\/97781"}],"wp:attachment":[{"href":"https:\/\/coinscreed.com\/staging\/wp-json\/wp\/v2\/media?parent=97750"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/coinscreed.com\/staging\/wp-json\/wp\/v2\/categories?post=97750"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/coinscreed.com\/staging\/wp-json\/wp\/v2\/tags?post=97750"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}