Meltem Demirors, the chief strategy officer of investment firm CoinShares, says institutional investors are starting to stampede into Ethereum (ETH) as FOMO surrounding the second-largest crypto asset erupts.
In a new Fox Business interview, Demirors reports that CoinShares, which tracks the total institutional inflows into ETH across a number of crypto companies and investment vehicles, is witnessing skyrocketing institutional interest in Ethereum as the leading smart contract platform consolidates below $2,000.
“When it comes to other crypto assets, at CoinShares we have $4 billion in assets under management primarily in Bitcoin, but last week, we tracked weekly fund flows of investors allocating to publicly-listed investment vehicles.
Last week, 80% of inflows, or about $175 million, went into Ethereum investment products and we have never seen institutional interest like that before.”
Demirors adds that corporations are allocating to crypto assets other than Bitcoin in an effort to reduce the risks that come with the flagship cryptocurrency.
“The landscape is changing and we see firms, corporations allocating to Bitcoin but investors are also looking at other digital assets that could have long-term potential to help diversify those balance sheets.”
Demirors also shares the potential impact of Tesla’s $1.5 billion investment in Bitcoin on the cryptocurrency market.
“With Tesla now having Bitcoin on its balance sheet and Tesla December 20th was added to every S&P index fund, there’s going to be a lot more coverage of Bitcoin in corporate treasuries and that is something I think we can all be excited about when it comes to more education and just more investor awareness.”
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The post CoinShares CSO Reports Institutional FOMO for Ethereum, $175,000,000 Entering ETH-Related Products in Just One Week appeared first on The Daily Hodl.