Worldwide Digital Asset-Based ETP AUM Remains 53% Ahead YTD Despite Quarterly Drop

Rhea-AI Summary

Fineqia International Inc. reports a 53% growth in total Assets Under Management (AUM) in the year-to-date (YTD) period for Exchange Traded Products (ETPs) with digital assets as underlying collateral. However, the total AUM dropped 13% in Q3. Bitcoin's price rose 4% in September, while Ethereum's price increased by 1.8%. ETPs representing a diversified basket of cryptocurrencies decreased 3.2% in AUM during September. Fineqia Research tracks 169 ETPs as of the end of September.

Positive

• Fineqia International Inc. experienced a 53% growth in total Assets Under Management (AUM) for ETPs with digital assets as underlying collateral in the YTD period.
• Bitcoin's price rose 4% in September, providing investors a way to offset a challenging market.
• ETPs representing a diversified basket of cryptocurrencies registered a 32% increase in AUM on a YTD basis.

Negative

• The total AUM of ETPs dropped 13% in Q3.
• ETPs holding BTC experienced a 12.7% decrease in AUM in Q3.
• ETPs holding ETH experienced a 14.2% decrease in AUM on a quarterly basis.

LONDON, Oct. 6, 2023 /PRNewswire/ - Fineqia International Inc. (the "Company" or "Fineqia") (CSE: FNQ) (OTC: FNQQF) (Frankfurt: FNQA), a leading digital asset and fintech investment business, announces that its analysis of global Exchange Traded Products (ETPs) with digital assets as underlying collateral, revealed a 53% growth in total Assets Under Management (AUM) in the year-to-date (YTD) period amid continued interest by investors. On a quarterly basis, the total AUM dropped 13% in Q3, after growing 67% and 5% in Q1 and Q2 respectively.

Year-to-date, total AUM shows a premium growth of 18% compared to the underlying value of digital assets, which grew slower at 45%. In Sept., total AUM increased 1% to $30.5 billion from $30.2 billion. During the same month, the market value of digital assets rose 7%, to about $1.15 trillion from $1.08 trillion.

"Bitcoin rose in September, which contrasted price drops during the same month in recent years as well as September monthly declines this year for many traditional assets such as global bonds, US treasuries, and S&P 500 stocks," said Fineqia CEO Bundeep Singh Rangar. "It provided investors a way to offset an otherwise challenging market."

Bitcoin's (BTC) price increased 4% in September, to $27,000 from $26,000 recorded on August 31. The AUM of ETPs holding BTC increased by 1.8%, to $21.7 billion from $21.3 billion. Year-to-date, the AUM of ETPs holding BTC rose 59.7%, despite a 12.7% decrease recorded in Q3. BTC price closely mirrored, falling 11.4% during Q3.

During Sept., Ethereum (ETH) rose 1.8% in value to $1,675 from $1,646 recorded at the end of August. Ethereum (ETH)-denominated ETPs AUM decreased 0.6% to $6.7 billion on Sept. 30, compared to $6.8 billion a month earlier. On a quarterly basis, the AUM of ETPs holding ETH decreased by 14.2%. Similarly, ETH prices dropped 13.3%. Year-to-date, the total AUM of ETPs holding ETH increased by 35.4%.

ETPs representing a diversified basket of cryptocurrencies decreased 3.2% in AUM during September, with a total decline of 11.5% in Q3. Despite this drop, basket ETPs registered a 32% increase in AUM on a YTD basis. ETPs representing an index of alternative coins increased by 2.3% in September against a backdrop of a 14.2% decrease in Q3. Year-to-date, ETPs holding individual altcoins showed the weakest growth, in comparison to other digital assets categories, with a 9.5% increase in AUM.

ETPs include Exchange Traded Funds (ETFs) and Exchange Traded Notes (ETNs). Fineqia Research's AUM calculation factors in the launch or closure of ETPs during any stated period. The number of tracked ETPs stood at 169 as of end of September, a slight increase from 162 at the beginning of the year.

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

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.

Fineqia (www.fineqia.com) is a digital asset business that builds and targets investments in early and growth stage technology companies that will be part of the next generation of the Internet. It also provides a platform to support and manage the issuance of debt securities in the UK. Publicly listed in Canada (CSE: FNQ) with offices in Vancouver and London, Fineqia's portfolio of investments includes businesses at the forefront of tokenization, blockchain technology, NFTs, AI, and fintech.

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 (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. Crypto assets are generally unregulated, subject to sudden and significant changes in value and carry a high risk of total loss of the investment. As these are unregulated assets, investors are unlikely to have recourse to any regulatory protections or access to investor compensation schemes. If you are unsure as to the appropriateness of these assets for your circumstances, you should take independent financial and legal advice. Fineqia Inc is not a crypto asset exchange and is not registered with any Authority as such. This material is general economic commentary and does not constitute a recommendation to buy, sell or otherwise transact in any of the assets discussed.

View original content to download multimedia:https://www.prnewswire.com/news-releases/worldwide-digital-asset-based-etp-aum-remains-53-ahead-ytd-despite-quarterly-drop-301949410.html

SOURCE Fineqia International Inc.

FAQ

What is the growth rate of Fineqia International Inc.'s total AUM for ETPs with digital assets?

The total AUM has grown by 53% in the year-to-date (YTD) period.

How did Bitcoin's price perform in September?

Bitcoin's price increased by 4% in September.

What is the AUM growth rate for ETPs representing a diversified basket of cryptocurrencies?

ETPs representing a diversified basket of cryptocurrencies registered a 32% increase in AUM on a YTD basis.

What happened to the total AUM of ETPs in Q3?

The total AUM of ETPs dropped 13% in Q3.

What happened to the AUM of ETPs holding BTC in Q3?

The AUM of ETPs holding BTC experienced a 12.7% decrease in Q3.

What happened to the AUM of ETPs holding ETH on a quarterly basis?

The AUM of ETPs holding ETH decreased by 14.2% on a quarterly basis.

How many ETPs does Fineqia Research track?

Fineqia Research tracks 169 ETPs as of the end of September.