A survey conducted by the blockchain analysis firm, Chainalysis, concluded that out of all the financial professionals polled, 48% believe that next year, Bitcoin will outshine the S&P 500, reports Decrypt.
The sample size of the survey is 350, where a diverse mix of financial professionals, from bankers to regulatory agencies were polled. It seems like roughly 116 of these professionals stand by S&P 500 for having “the highest year-over-year-growth.” The next to make it to the list are Bloomberg Barclays Bond Index (13%) and the Housing Price Index (5%).
That said, roughly 245 professionals see the existence of a possible global digital currency taking place sometime within the next 5 to 10 years. As for which country might have control over said currency, 33% believe it will the U.S., while an astonishing 21% believe it will be China.
With such enthusiasm, one might be wondering why such professionals are pushing off the idea of getting involved in cryptocurrencies.
Here’s what the CEO of Chainalysis, Michael Gronager had to say regarding it:
“Despite their enthusiasm for cryptocurrency as an asset class, many [financial professionals] do not have a firm understanding of their risk exposure, or of providing banking services to cryptocurrency businesses.”
The aforementioned leads to the main area of concern, which is the lack of regulation or the complexity of regulations that exist. As per the survey findings, 57% of respondents expressed hesitation due to regulatory concerns, followed by 39% who fear of the use of public blockchains for illegal activities and 17.9% who simply are concerned of not being able to with the regulations in place.
Another popular reason among responds rests in the fact that the trading market lacks substance and executive support.
Gronager went on to emphasize that,
“While compliance issues in cryptocurrency present a valid concern, we think that financial institutions may not realize how solvable they are.”