Executive Summary: Digital Asset Management Review December 2023

CCData’s Digital Asset Management Review provides readers with an overview of the global digital asset investment product landscape. Our latest Digital Asset Management Review (DAMR) is now live. This monthly report provides readers with an overview of the global digital asset investment product landscape. In 2023, the digital asset management industry saw remarkable growth, with a focus on regulatory engagement and the advancement of crypto exchange-traded funds (ETFs), particularly for Bitcoin and Ethereum. In December, the industry’s AUM grew by 14.6% to $49.6 billion, the highest since March 2022, marking a substantial 152% cumulative rise in 2023, with 67.6% of this growth occurring in Q4 alone. This surge was fueled by increases in Bitcoin prices, optimistic market sentiment, and inflows into numerous digital asset funds. Key Findings: Digital asset volumes and AUM witnessed significant growth in the fourth quarter of 2023. In December, the average daily volumes for digital asset products soared by 33.93%, hitting a high of $659.5 million, the largest increase since January 2022. Meanwhile, AUM grew by 14.6% to $49.6 billion, a peak last seen in March 2022. Altcoin AUM soars as Solana records an AUM increase of 30X in 2023. In December, “Other” assets AUM experienced significant growth, including AVAX, ADA and SOL, which saw an increase of 125%, 71.0% and 54.9%, respectively. Solana’s increase has been especially notable, with its products witnessing an increase of almost 30x in 2023, now capturing 1.3% market share after a negligible share in 2022. Grayscale dominated the market in 2023 with an annual growth of 136.37%, bringing its AUM to $34.46 billion. XBT Provider followed with a yearly increase of 99.35%, totaling $2.37 billion AUM. 21Shares reported an impressive annual surge of 169.13%, while Purpose Investments’ AUM skyrocketed by 284.84% over the year. ETC Group’s AUM more than tripled from the previous year, illustrating a thriving digital asset sector with significant annual expansion. In December, the USA led with a significant 13.49% monthly AUM growth, reaching $36.88 billion and capturing a dominant market share of 75.2% . Canada followed, marking a 17.71% increase to $3.82 billion, representing 7.50% of the market. Additionally, Sweden, Switzerland, and Germany showed notable growth in A, with Sweden increasing by 11.91% to $2.38 billion (4.87% market share), Switzerland by 24.07% to $2.24 billion, and Germany by 23.36% to $1.45 billion (2.96% market share). Digital asset-related stocks experience high returns and volatility, led by companies like Coinbase and Marathon Digital. Throughout the year, notable companies in the digital asset sector navigated a volatile market with impressive gains. Coinbase (COIN) led with a significant 423.42% return, highlighting strong performance in the crypto service sector. MicroStrategy Incorporated (MSTR) followed with a 373.77% YTD return. Marathon Digital Holdings (MARA) stood out remarkably, achieving an 808.48% YTD return. Digital Asset Management Review Digital Asset AUM Rises 67.6% in Q4 of 2023 Digital asset volumes and AUM witnessed significant growth in the fourth quarter of 2023. In December, the average daily volumes of combined products experienced a significant increase of 33.93%, reaching approximately $659.5 million. This represents the largest rise since January 2022 and indicates a bullish sentiment and increased investor confidence in the market. Meanwhile, digital asset investment product AUM maintained its momentum, growing by 14.6% to $49.6 billion, a value not seen since March 2022. This marked a cumulative rise of 152% in 2023, of which 67.6% was recorded in Q4. The recent upsurge has been driven by the increase in Bitcoin (BTC) price, the advancing discussions regarding ETF approvals, and the overall state of optimism that the market witnessed in December. Created with CCData data AVAX, ADA & SOL Experience Significant AUM Growth in December In December, “Other” assets AUM experienced significant growth, including AVAX, ADA and SOL, which saw an increase of 125%, 71.0% and 54.9%, respectively. Solana’s increase has been especially notable, with its products witnessing an increase of almost 30x in 2023, now capturing 1.3% market share after a negligible share in 2022. Bitcoin-based products also continued their upward trajectory, with AUM increasing by 15.9% to approximately $36.9 billion. Ethereum products followed suit with an increase of 8.11% to $9.25 billion, capturing 18.6% in market share (down from 25.1% at the beginning of January 2023). Created with CCData data USA Maintains Dominance in AUM by Domicile In December, the USA led with a significant 13.49% monthly AUM growth, reaching $36.88 billion and capturing a dominant market share of 75.2%. Canada followed, marking a 17.71% increase to $3.82 billion, representing 7.50% of the market. Additionally, Sweden, Switzerland, and Germany showed notable growth in A, with Sweden increasing by 11.91% to $2.38 billion (4.87% market share), Switzerland by 24.07% to $2.24 billion, and Germany by 23.36% to $1.45 billion (2.96% share). Created with CCData data Strong Year for Digital Asset Stocks Led by Coinbase & Marathon Digital Digital asset-related stocks experience high returns and volatility, led by companies like Coinbase and Marathon Digital. Throughout the year, notable companies in the digital asset sector navigated a volatile market with impressive gains. Coinbase (COIN) led with a significant 423.42% return, highlighting strong performance in the crypto service sector. MicroStrategy Incorporated (MSTR) followed with a 373.77% YTD return. Marathon Digital Holdings (MARA) stood out remarkably, achieving an 808.48% YTD return. Created with CCData data Looking for custom data or charting? Our monthly Digital Asset Management Review contains a summarised analysis of the latest movements in cryptocurrency markets. If you enjoy our reports, then we recommend signing up for our mailing list so you can receive all of our latest research straight to your inbox. Digital Asset Management Review Want to stay up to date with everything crypto? Subscribe to our mailing list and get our monthly research reports and insights delivered straight to your inbox. CCData’s suite of market-leading trade, order book, derivatives, blockchain, social, and historical data, spanning thousands of cryptocurrencies and 300+ exchanges, is also available via our API here: https://developers.cryptocompare.com/ Executive Summary: Digital Asset Management Review December 2023 was originally published in CCData on Medium, where people are continuing the conversation by highlighting and responding to this story.