Report Methodology
The Finery Markets team analyzed 2 million spot trades conducted by institutions through the Finery Markets platform in the first six months of 2024 and 2023.
The trade data was collected from various market participants such as market makers, payment providers, brokers, over-the-counter desks, hedge funds, and custodians.
The findings presented in this report are based on the sampled trades and highlight the conclusions and trends observed.
H1 2024 Roundup
The recent approval of crypto-related vehicles has sparked institutional interest in adopting crypto for the long term. In the first half of the year, we saw the successful launch of a BTC ETF, followed by major financial institutions taking steps to expand this to include ETH and Solana. The increase in cryptoOTC flows is a reflection of this trend.
However, we believe that the full impact of ETF approvals on the market may not be fully realized until six to nine months later, as it typically takes this amount of time for innovative products to be fully integrated into financial players’ product portfolios and widely adopted.
Key Takeaways
- In H1 2024, the OTC institutional crypto market’s total spot transaction volume soared 95% YoY.
- The rally in BTC and inflows into ETFs have spurred increased institutional interest in crypto products. Ethereum trading volumes rose by 32% in the first half of 2024 compared to the same period in 2023. The approval of ETH ETFs may further drive institutional participation in the market.
- Crypto-to-crypto trades demonstrated a 50% year-over-year growth. In contrast, crypto-to-fiat pairs decreased by 12% in the first six months of 2024 compared to the same period in 2023. Amid rising interest in digital assets, transactions involving stablecoins across all blockchains and layers surged 2.6 times year-over-year.
Read the full report here.
