Appold Market Watch - Week ending 26 July 2024
Market Update & Industry News - Week ending 26 July 2024
🔷 Spot Ether Exchange Traded Funds (ETFs) went live on the US stock market with over $1b in trading volume and over $100m in net flow on the first day. The U.S. Securities and Exchange Commission approved nine Ether ETFs on Monday, with trading starting on Tuesday. BlackRock’s iShares Ethereum Trust ETF had the most inflow at $266.5m.
Appold view: As with spot Bitcoin, Blackrock has leveraged its position as market leader to generate the highest inflows, with Bitwise Asset Management second at around $204m and Fidelity Investments third at $71.3m.
🔷 London-based global pro-digital assets fintech Revolut announced it had been granted a banking license from the UK’s Prudential Regulatory Authority three years after applying. Revolut now enters the “mobilisation” stage, which is designed for new banks to complete the build-out of their banking operations.
Appold view: It’s been a long, bumpy journey, but it's almost there. The company now has to enter a “mobilisation” phase, a probation period for ensuring fully functioning systems before offering full bank facilities to clients. Early next year is a more realistic target.
🔷 The UK Financial Conduct Authority fined global digital assets exchange Coinbase, the first such action against a firm handling payments used in digital asset trading. The fine is allegedly due to Coinbase providing payment services to more than 13,000 “high-risk” customers.
Appold view: A reported £3.5m fine seems low compared to the $100m fine the US company settled in January 2023 for AML and KYC shortcomings.
🔷 Hong Kong’s CSOP Asset Management launched Asia’s first futures-based inverse Bitcoin Exchange Traded Fund (ETF) product.
Appold view: It is good to see the landscape of digital asset investment products continue to evolve in the region.
🔷 Appold and Gravita announced a partnership for specialist audits focused on companies utilising digital assets. The objective is to heighten governance and improve risk management and transparency throughout the blockchain industry.
Appold view: This partnership has been positively received by the industry, as specialist audits allow businesses and blockchain companies to demonstrate better governance and risk management to their clients, stakeholders and strategic partners.
#Marketwatch #Blockchain #Investments
