Binance: Institutions only own 7% of crypto

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  • The amount of institutional cash in the crypto markets is just one-third of the amount in traditional stock markets.
  • The report concludes that there is still a significant amount of capital sitting on the sidelines just waiting to be invested.

Binance Research, the market analysis branch of the Binance exchange, published a report which claimed that institutional investors possess less than 7% of all cryptocurrencies. The research report notes:

“From data collected by cryptofundresearch.com, around 700 crypto funds operate…today, representing a total of just under $10 billion in assets… With a conservative assumption that they all hold solely Bitcoin, this would account for an upper bound of only 14% of the total market value of Bitcoin; If Altcoins are included in the assumption of their holdings… the ‘institutional proportion’ overall could be less than 7% for the cryptoasset market.”

The report also revealed that the amount of institutional cash in the crypto markets is just one-third of the amount in traditional stock markets. The report concludes that there is still a significant amount of capital sitting on the sidelines just waiting to be invested.

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