The past few months have seen an influx of institutional investors seeking exposure to Bitcoin and other cryptocurrencies.

Union Investments, one of the largest asset management funds in Germany, intends to add Bitcoin (BTC) to some of its investment funds. This latest development is part of the fund’s targeted pilot programme for its institutional investors.

The investment firm currently holds over $500 billion in assets under management. It told Bloomberg yesterday that it wants to add Bitcoin to a small number of investment funds. The funds will be available to private investors.

According to Union Investment, each of the funds would hold 2% of its total portfolio in Bitcoin. Portfolio manager Daniel Bathe stated that the investment products would be available in the fourth quarter of the year. However, there is no set timeline on when it would commence.

Since the start of 2021, numerous hedge funds and other institutional investors have entered the cryptocurrency market. Germany, in particular, has become one of the leading countries in terms of institutional cryptocurrency investments.

The country’s law that allows institutions to hold cryptocurrencies came into effect on 2 August. The law allows institutional investors, including pension funds, to hold a certain percentage of their portfolio in Bitcoin and other cryptocurrencies.

The cryptocurrency market has experienced massive growth over the past year. The total market cap is now close to $2.4 trillion, it’s current all-time high. Bitcoin continues to dominate the market, with a market cap of nearly $1 trillion.

However, Bitcoin’s dominance in the market has been waning in recent months. Bitcoin previously accounted for over 50% of the total cryptocurrency market cap. However, Ether and the others have been eating into Bitcoin’s market share, and it now only accounts for 41% of the total cryptocurrency market cap.

Bitcoin is currently trading above $52,000, up by over 80% from the $29,000 low it experienced in July. Ether, on the other hand, is hovering around the $4,000 mark after dropping below $2,000 two months ago.

This post was originally published on Coinlist.