Institutions expanding their inclination towards altcoins

As per CoinShares, institutional investors are seemingly leaning towards a greater array of altcoins, with Solana (SOLUSD) gaining the attention of hedge funds and wealth managers.

In the opinion of the asset manager’s Head of Research, James Butterfill, investors are keen on Solana. The information has been collected following a study involving 64 investors. Almost 15% of them had carried out investments in SOL.

In Butterfill’s observation, XRP is no longer having much significance. However, there have been some inflows to the tune of $1.3 million related to XRP items. Solana is presently in the third position if growth is to be considered. 

The top position is bitcoin (BTCUSD), which has the endorsement of 41% of the respondents. Ether, on its part, is second in line, having the support of 30% of respondents. However, ETH is seeing a low.

If the percentage of cryptocurrencies in the collection of investors is to be considered, it will witness an increase of 3%. In Butterfill’s viewpoint, this is a significant percentage. In the beginning of the year, it was 1.3%.

As expected, it was the institutional investor that ruled the roost after gaining insight into bitcoin through the US ETFs. A total of 55% went towards equities and stocks pertaining to the asset segment. 

Knowhow on distributed ledger technology was one of the prime explanations why investors purchased digital assets, in spite of a whole lot of cryptocurrencies coming with higher pricing. The figure rose from 15% to 20%. This is also being attributed to increased customer requirements.

Considering that all of the available data seems to be favouring crypto on the whole, there are a bunch of wealth managers and institutional investors who strongly feel there are certain blockades with regard to venturing within the asset space.

The respondents who did not possess crypto attributed it to the stringent regulations surrounding it.

David Cox

David is a finance graduate and crypto enthusiast. He projects his expertise in subjects like crypto and Blockchain while writing for CryptoNewsZ. Being from Finance background, he efficiently writes Price Analysis. Apart from writing, he actively nurtures hobbies like sports and movies.

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