Investment advisors are the largest buyers of crypto spot ETFs, indicating that capital flows are shifting from speculation to long-term, portfolio-driven allocation.

According to ChainCatcher, citing data shared by Bloomberg analyst James Seyffart, investment advisors are the dominant known holders of Ethereum ETF. In the second quarter, this group invested over $1.3 billion, equivalent to 539,000 Ethereum, marking a 68% increase from the previous quarter. The same trend has been observed with US spot bitcoin ETFs. Advisors are now the largest holders, possessing 161,000 bitcoin worth over $17 billion.

In response, Kronos Research Chief Investment Officer Vincent Liu stated that these figures indicate a shift in capital flows from speculative to long-term, portfolio-driven allocations. As the largest holders, their strategic positioning provides deeper liquidity and a more enduring foundation for the integration of cryptocurrencies into global markets. Furthermore, as more advisors adopt bitcoin and Ethereum ETFs, cryptocurrencies will be recommended and recognized as long-term diversification tools in traditional portfolios, complementing stocks, bonds, and other mainstream assets.

The report points out that as regulatory frameworks come into effect, the number of financial advisors involved with crypto ETFs may surge. In July of this year, Fox Business News predicted that trillions of dollars could flow into the market through financial advisors.