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The information provided on EL7.AI is for educational and informational purposes only and does not constitute financial advice.
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Sign InGlobal digital asset Exchange Traded Products (ETPs) experienced a significant contraction in February, with assets under management (AUM) falling by 21.4%. According to a report by Fineqia International Inc, total AUM dropped to $122.5 billion at the end of the month, down from $155.8 billion in January. This decline represents the steepest monthly drawdown recorded in the sector for several years. The primary driver behind this reduction was the broad downturn in underlying cryptocurrency prices, which heavily impacted the valuation of institutional-grade investment vehicles. Despite the growth seen in previous months, the February data reflects a sharp correction in the market value of digital asset holdings. Analysts note that this contraction highlights the sensitivity of ETP valuations to the high volatility of the spot crypto market.