Fineqia International Inc (CSE:FNQ, OTC:FNQQF) announced that its analysis shows global exchange-traded products (ETPs) made up of digital assets have grown by 64% in terms of total assets under management in the year-to-date, reflecting continued interest in these assets.
The company said that assets under management in the year-to-date remain ahead despite a monthly drop, pulling back to $81 billion in April from $94.4 billion at the end of March. This marks a 14.2% decrease.
It added that the total value of digital assets decreased by 18.8% to about $2.29 trillion from $2.82 trillion.
However, its analysis showed that even amid the market decline, financial products backed by digital assets retain a 24.5% premium over the digital asset market, which the company said is consistent with the trend seen in the first quarter.
With exchange-traded products holding digital assets up 64% and the digital assets market cap increasing by 29.2%, the premium growth for exchange-traded products is approximately 117%, Fineqia said.
The surge was attributed by the firm to the approval of Bitcoin spot exchange-traded funds (ETFs) in the United States, which commenced trading in January 2024.
"It's fully baked now," Fineqia CEO Bundeep Singh Rangar said. "With the initial rise from the SEC's yeast effect having cooled off, the loaves are ready and being served on the ETF and exchange-traded notes (ETNs) shelves across the world."
Meanwhile, during April the price of Bitcoin declined 13.6% and simultaneously the assets under management of exchange-traded products with Bitcoin as their underlying asset experienced a 13.2% decrease, dropping from $72.8 billion at the end of March to $63.2 billion.
Year-to-date, exchange-traded products holding Bitcoin are up 77.7% while the price of Bitcoin is up 42.2%, reflecting an 84% growth in premium for financial products with Bitcoin as their underlying asset in 2024, Fineqia’s analysis showed.
Fineqia is a digital asset business building and targeting investments in early and growth-stage technology companies that will be part of the next generation of the Internet. Its portfolio of investments includes businesses at the forefront of tokenization, blockchain technology, NFTs, AI, and fintech.