Caleb and Brown Crypto Broker CEO Says Financial Advisors Are Buying Bitcoin (BTC) in Bulk
It seems that the bear market in the cryptocurrency space is a good opportunity for investors and financial advisors to purchase virtual currencies. According to the CEO of Caleb and Brown, one of the largest crypto brokerage services in Australia, financial advisors are purchasing large amounts of Bitcoin (BTC).
Caleb and Brown, which was founded back in 2016, allows investors to purchase large sums of virtual currencies through a trusted entity.
During a discussion regarding the current state of the crypto space, Dr. Prash Puspanathan mentioned that financial advisors are loading up on Bitcoin.
He said about it:
“These are wealth managers, who have their own personal cryptocurrency portfolios. They see value in it… I’ve dealt with five or six of them personally already.”
Talking with the news site Micky, he went on saying that the Australian market is still behind in terms of virtual currencies. Around 50 percent of the clients are international. Most of the investors are from the USA, which he claims that they are ahead of the curve.
He explains that for the future when cryptocurrencies will be regulated by governments and other agencies, these assets will work as financial instruments. Furthermore, he believes that the price of Bitcoin will recover in the future.
Dr. Prash said that we will see more cycles such as the one that we have experienced. The market capitalization is still small, which means that we will continue to experience more volatility in the coming years. The bounce that cryptos will experience could be hard, Prash said.
He has also talked about the approval of a Bitcoin ETF by the U.S. Securities and Exchange Commission (SEC). The regulatory agency of the United States needs to decide whether it will approve it in the near future or not.
If there is an approval, institutional and traditional investors would be able to enter the market in a much easier way than now. Furthermore, the Intercontinental Exchange (ICE) is also working in order to offer a platform for institutions to invest in virtual currencies.
At the time of writing this article, Bitcoin is the largest crypto in the market. It has a market capitalization of $71.01 billion and each coin can be purchased for $4,073 according to CoinMarketCap. A few weeks ago, Bitcoin was traded around $3,250.