Digital Asset Funds See First Monthly AUM Increase Since July

• Digital asset investment products saw their first monthly increase in assets under management (AUM) since July, rising by 6.74% to $31.7 billion in October.
• This increase is driven by anticipation of potential approval for Bitcoin ETFs by the U.S. Securities and Exchange Commission (SEC) in early 2023.
• Bitcoin-based products gained market share, increasing to 73.3% from 70.5% in September, with AUM reaching $23.2 billion.

Digital asset investment products saw their first monthly increase in assets under management (AUM) since July, according to new data from benchmark administrator CCData. The total AUM for cryptocurrency funds traded on exchanges and over the counter jumped 6.74% in October to $31.7 billion.

The increase comes as anticipation builds for the U.S. Securities and Exchange Commission to potentially approve several exchange-traded funds (ETFs) investing in bitcoin in early 2023. AUM represents the total value of assets a financial institution manages on behalf of clients.

CCData says October witnessed major developments

“October has seen major developments in the digital asset space,” said CCData in a report. “The launch of six ETH Futures ETFs on October 2nd gave investors new exposure to ETH futures. Shortly after, Bitcoin’s price surged nearly 8% in under an hour to $30,009, driven by rumors about the possible approval of BlackRock’s bitcoin ETF application.”

CCData added, “These events, among others, have sparked investor sentiment and raised hopes for the imminent greenlighting of the first-spot bitcoin ETF.”

Bitcoin-based products saw their market share increase to 73.3% from 70.5% in September, with AUM rising 11.1% to $23.2 billion. Meanwhile, Ether products declined 5.45% to $6.35 billion in AUM, and their market share fell to 20.1% from 22.6% in September.

Solana’s SOL saw the largest growth at 74.1% to $140 million in AUM. SOL has gained 54% this month, outperforming bitcoin’s 26% rise. ATOM-based products grew 58.6% to $2.15 million AUM.