Binance Research: Crypto Market Lacks Discovery Layer, Neutral Strategies Absorb Over 90% of Institutional Funds

A Binance Research report points out that the crypto market lacks a discovery and verification intermediary layer connecting funds and managers, leading to institutional funds primarily flowing into passive beta products. Currently, active strategy funds heavily rely on personal networks and lack standardized performance verification and benchmarking systems. Capital Connect data shows that directional strategy funds account for 44.3% of the total number of funds, but hold only 6.7% of the total capital; market neutral, statistical arbitrage, and traditional multi-strategy funds absorbed 92.1% of the capital. The average investment size per deal by institutions in neutral strategies is approximately 11 times that of directional strategies. In October, BTC fell by 7.2%, with directional funds recording an average positive return of 1.9% and neutral strategies a return of 1.0%.