Institutional investors have entered the crypto market en masse, a trend that seems unlikely to be reversed anytime soon.
Finally, and after eleven years of waiting, institutional investors are beginning to make their presence felt in the crypto market. So far in 2020, the big investment firms have entered the world of cryptoactives en masse. Acquiring millions of dollars in Bitcoin through options like Grayscale. So, for Anthony Pompliano in today’s Tweet, institutional investors are here to stay:
Institutional Investors in Bitcoin
The participation of institutional investors is no small thing for the crypto community. On the contrary, for a long time the entry of large investment firms into the crypto market has been seen as the final solution to the problem of volatility. The element that will finally provide stability and maturity to cryptosystems like Bitcoin.
The fact is that the entry of institutional investors into the market does not only imply an increase in demand, with the consequent increase in the price of crypto currencies. But, above all, it means an increase in the market capitalization of currencies such as Crypto Superstar Bitcoin, and a decrease in the dominance that actors such as whales have over these virtual currencies.
That’s why the fact that this year banks, firms, and large investors are buying Bitcoin, has been the most important and consequential news for the crypt world. It’s gotten to the point that according to Grayscale, a company that serves as an intermediary between investment firms and the crypto market, the flow of institutional investors has increased six-fold compared to last year. As Anthony Pompliano commented on his Twitter account:
„The CEO of Grayscale @Sonnenshein says that revenues have increased 6 times over last year and that today’s investors are very sophisticated and write very large checks. The institutions are here and it’s glorious to see them.“
Along with this tweet, Anthony Pompliano included a video of Grayscale’s CEO, Michael Sonnenshein, talking about the situation of institutional investors. Showing how investment funds seem to have come to stay in the crypto market, through options like Grayscale.