Bitget Report Unveils 250% Surge in Crypto Custodial Assets
A Bitget report recently unveiled a report showcasing a remarkable 250% surge in assets within third-party custodial accounts. This report delves into the utilization patterns of custodial wallets across diverse market segments, offering valuable insights into investor behavior, market dynamics, and the overall development of the cryptocurrency economy.
Bitget Report: Crypto Custodial Assets on the Rise?
The comprehensive study draws on data obtained from Bitgets third-party custodial accounts, established in August 2023 through strategic partnerships with digital asset custody providers like Copper and Cobo. The research investigates the correlation between various market indicators and the duration of custodial crypto wallet usage, revealing several key findings:
- Total assets under custody experienced a substantial 250% increase in the last four months, coinciding with the anticipation and subsequent approval of the BTC ETF.
- Custodial accounts nearly doubled since November 2023.
- 43% of short-term custodial account holders utilize their accounts for repeat deposits.
- Approximately 77% of all custodial accounts serve short-term purposes, underscoring a strategic pursuit of opportunities.
A closer examination of the research highlights that the surge in custodial accounts aligns with the overall performance of the crypto market and the growing anticipation of a bullish trend among users. Factors such as the integration of cryptocurrencies into everyday life and global events, including local conflicts and geopolitical tensions, contribute to users seeking financial refuge in cryptocurrencies to safeguard their savings.
The research emphasizes institutional adoption, with a focus on rising interest in Bitcoin and Ethereum ETFs, leading to an increased adoption of custodial solutions. The approval of Bitcoin ETFs, coupled with Bitcoin price fluctuations, stands out as the primary driver behind the 250% growth in assets under custody within just four months.
Market-wide statistics reveal that short-term storage is the primary purpose for users adopting custodial wallets. Users engaging in short-term usage exhibit heightened activity levels, maintaining balances exceeding $100,000 for less than three months. This trend became particularly evident in November 2023, correlating with a sharp increase in trading volumes across the market.
Gracy Chen, Managing Director of Bitget, commented on the study, stating, Bitgets latest research highlights a captivating trend within the cryptocurrency space. She emphasized the dynamic nature of the crypto economy and expressed expectations that the recent approval of Bitcoin ETFs would further accelerate cryptocurrency adoption. Bitget remains committed to providing valuable insights and solutions to users as they navigate the evolving landscape of digital assets.
Bitget consistently releases comprehensive studies covering various subjects relevant to its operating markets and the global trends shaping the decentralized economy. These reports serve as invaluable resources for professionals and market participants, offering insights into potential industry shifts and identifying growth opportunities.
> For access to the full report click here<
What is Bitget?
About Bitget: Established in 2018, Bitget is a leading cryptocurrency exchange and Web3 company, serving over 20 million users in 100+ countries and regions. The Bitget exchange prioritizes assisting users in trading smarter through innovative features such as copy trading. Formerly known as BitKeep, Bitget Wallet is a world-class multi-chain crypto wallet offering comprehensive Web3 solutions, including wallet functionality, swap, NFT Marketplace, DApp browser, and more. Bitget collaborates with credible partners, including legendary Argentinian footballer Lionel Messi and eSports events organizer PGL, inspiring individuals to embrace crypto.
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Text source: CryptoTicker
