Nearly 3 of 4 Institutional Asset Managers and Investors Say Bitcoin and Crypto Are Here to Stay
Almost 75% Of Asset Managers And Investors Believe Cryptocurrencies Are Here To Stay
According to a new report about institutional interest in cryptocurrencies revealed that most financial experts believe that virtual currencies are here to stay. The investigation has been conducted by Greenwich Associates asking institutional investors in North America, Europe and Asia about the future of the space.
The survey included different companies and sectors in several countries. As per the official results, 72% of the investors believe that cryptocurrencies will be in the market for a long time.
This 72% includes investors that said that cryptocurrencies will grow and disintermediate traditional finance (2%), that think that cryptocurrencies will fail with few surviving and thriving (32%), and that believe that a regulatory construct will develop leading to growth and innovation.
In the poll were included 141 finance executives, showing that there is an important interest in virtual currencies and in the future potential of the market.
Just the last month, the Intercontinental Exchange (ICE) announced that it has signed a partnership with Microsoft and Starbucks in order to create Bakkt. The platform will be regulated and will offer services to institutional investors and financial institutions.
Moreover, Coinbase, one of the most known companies in the cryptocurrency world, has decided to invest in different products for institutions. Until now, Coinbase believes that it will be able to bring $10 billion dollars of Wall Street money. One of these solutions is known as Coinbase Custody, which will provide institutions a regulated and secure custody solution.
Furthermore, Circle, an important company backed by Goldman Sachs, is also working with the intention to create a qualified cryptocurrency solution. Additionally, Susquehanna International Group (SIG) is offering clients the possibility to buy and sell Bitcoin.
According to a report from Grayscale Investments, the number of institutions placing their funds in virtual currencies is already growing. As per the report, 56% of its investments during the first half of 2018 were from institutions.
Institutions are very important for the cryptocurrency world. In the future, they may be able to trigger a bull run, since retail investors have already did it back in 2017. In order for this to happen, companies need to heavily invest in infrastructure. Institutional investors are used to regulated and controlled services in the traditional financial markets.
The U.S. Securities and Exchange Commission (SEC) has several times talked about manipulation in the virtual currency market. These things need to be addressed before institutions start to pay attention in cryptos. Nonetheless, the interest is clearly growing and this is very positive.