CryptoCompare has caught up with representatives from some of the largest cryptocurrency exchanges in the space – including, OKCoin, Huobi, EXMO, and KuCoin – to get their thoughts on how the space is evolving, and what the future holds for cryptocurrency exchanges.

Cryptocurrency asset manager Grayscale Investments has released its financial report for the third quarter of the year, and revealed it raised $1.05 billion into its investment products, making it the “largest capital inflow in a single quarter in the firm’s history.”

San Francisco-based cryptocurrency exchange Coinbase reportedly holds approximately 994,904 BTC in cold storage, according to data from bitcoin analytics platform ChainInfo.

Top stories in the Crypto Roundup today:

• Decentralized Exchanges Will Keep Growing, Even as Institutions Invest in Crypto
• Grayscale Posts Record Quarter With Inflows Above $1 Billion
• Coinbase Holds $11 Billion of Bitcoin in Its Wallets
• SRM, REN, BCH Are Moving in the Crypto Market

Decentralized Exchanges Will Keep Growing, Even as Institutions Invest in Crypto

CryptoCompare has caught up with representatives from some of the largest cryptocurrency exchanges in the space – including, OKCoin, Huobi, EXMO, and KuCoin – to get their thoughts on how the space is evolving, and what the future holds for cryptocurrency exchanges.

The crypto exchange representatives CryptoCompare spoke with revealed they believe decentralized exchanges (DEXs) are going to keep growing. 73% of respondents estimate these platforms’ current market share of 5% will increase over the next two years, while 23.1% said they believe DEXs market share will stay in the 5-10% range.

Despite the belief that DEXs will grow, 48% of respondents revealed they have no plans to build a decentralized exchange, while 32% conceded they “may build a DEX in the near future.”

We also found that crypto exchange representatives believe institutional investors and high-frequency traders will invest more in the space. 65.4% of respondents believe high-frequency trading will increase in crypto within two years.

Impressively, 92.3% believe there will be a rise in institutional investors investing in digital assets over the same period.

Grayscale Posts Record Quarter With Inflows Above $1 Billion

Cryptocurrency asset manager Grayscale Investments has released its financial report for the third quarter of the year, and revealed it raised $1.05 billion into its investment products, making it the “largest capital inflow in a single quarter in the firm’s history.”

Grayscale’s bitcoin product, GBTC, has led investment demand with inflows of $719.3 million in Q3 2020. The trust’s assets under management grew 147% year-to-date. The report reads:

“Year-to-date investment into the Grayscale family of products has surpassed $2.4 billion, more than double the $1.2 billion cumulative inflow into the products from 2013-2019.”

Grayscale’s report points out its Bitcoin Cash, Litecoin, and Digital Large Cap funds saw inflows increase by more than 1,400% quarter-over-quarter. 57% of the funds came from investors with various Grayscale products, and institutional investors accounted for 81% of the investment in Q3.

Coinbase Holds $11 Billion of Bitcoin in Its Wallets

San Francisco-based cryptocurrency exchange Coinbase reportedly holds approximately 994,904 BTC in cold storage, according to data from bitcoin analytics platform ChainInfo.

The amount equals over $11 billion worth of the cryptocurrency at current prices. Data shows that the amount of BTC Coinbase holds in cold storage has decreased since December 2019, when it had 966,230 bitcoin in its wallets.

Despite the decrease, the value of the bitcoin the cryptocurrency exchange holds went up. Coinbase’s holdings are greater than those of other cryptocurrency exchanges, as other top trading platforms like Huobi and Binance hold 323,655 BTC and 289,691 BTC respectively.

SRM, REN, BCH Are Moving in the Crypto Market

There are several tokens leading the charge in the last 24-hour period. Some of these are well-known cryptocurrencies with rather liquid trading pairs, so we’ll be focusing on these over low-cap cryptos who may have higher percentage changes.

Serum (SRM) - Serum is a completely decentralized derivatives exchange with trustless cross-chain trading. Serum’s SRM token is up 7% in the last 24 hours.

REN (REN) - REN is an open-source decentralized dark pool for trustless cross-chain atomic trading of Ether, ERC20 tokens, and Bitcoin. The REN token has seen its price move up 4.21% in the last 24 hours.

Bitcoin Cash (BCH) – Bitcoin Cash, a hard forked version of the original Bitcoin that was created in August 2017 and includes larger blocks than the original Bitcoin, but lacks other features, is up 3.75% in the last 24 hours.

State of the Crypto by Top Tier Exchange Volume

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