PANews reported on October 25 that according to Cointelegraph, a new report from Binance stated that since the launch of the spot Bitcoin ETF, most of the demand has come from retail investors rather than institutional investors. Binance analysts said that as of October 10, non-institutional investors accounted for nearly 80% of the total assets under management (AUM) of the spot BTC ETF. In addition, a large part of the $63.3 billion in assets under management accumulated by the spot Bitcoin ETF since its launch in January is not necessarily new investment in the cryptocurrency field. Instead, it seems that a "significant portion" of the buying activity can be traced back to retail investors transferring their holdings from digital wallets and centralized exchanges to funds that provide stronger regulatory protection.
While retail investors account for the majority of fund investments, Binance analysts noted that institutional demand is also growing, with investment advisors and hedge funds being the two fastest growing stakeholders. However, many institutions have not yet made any progress in Bitcoin funds, and those that have invested are still "reserved" in their capital allocation. The report added: "Although institutional investors are expected to drive the expansion of transaction size over time, there has been no substantial change this year, which may be due to unstable market conditions and global liquidity uncertainty."
