New York-based financial investment firm WisdomTree on Friday release Asset managers’ crypto holdings fell 36% to $178 million in the third quarter as of Sept. 30, according to the latest earnings report.
WisdomTree said its holdings fell by $87 million, or 36%, in the third quarter due to market weakness. According to the report, at the end of the second quarter he had $265 million in crypto assets, but by the end of the third quarter (July, August and September) he had $178 million. had millions of dollars.
The company’s crypto holdings have fallen 56% since January from $406 million, according to the report. Overall, WisdomTree said assets under management reached $70.9 billion at the end of the third quarter of this year.
The decline in holdings reflects the fall in cryptocurrency prices and the global crypto market capitalization, which has fallen from $2.3 trillion in January to $1.02 trillion today.
WisdomTree President and Chief Operating Officer Jarrett Lillian said the company’s approach is to make cryptocurrencies mainstream and that the market crisis will not deter the company.
WisdomTree is one of several cryptocurrency managers affected by the long and tedious crypto winter. Several publicly traded cryptocurrency businesses have lost investor interest and faced serious downgrades from brokerages across the board.
of performance Some of these companies (such as PayPal and Coinbase among others) ( block phi ) recently announced job cuts, while others ( voyager digital, Celsius network, Arrow Three Capitaland others) have announced bankruptcy protection.
Since then, outflows from crypto investment products have consistently increased TerraUSD Collapse Concerns have arisen about the survival and sustainability of many crypto asset management companies.
While the market downturn has made it difficult for smaller crypto funds to survive, it has created an opportunity for key players in the wealth management sector to rethink their risk management strategies.
Image Source: Shutterstock