Genesis Trading’s Head of Market Insights says institutional investment growth in the crypto space has been “astounding” over the past 12 months. The executive added, “We are seeing strong signs that this will accelerate over the next year.”
Strong signs of an acceleration in institutional investment growth over the next year
Noelle Acheson, Head of Market Insights at Genesis Trading, shared with CNBC on Tuesday her outlook for the cryptocurrency market and what investors should expect in 2022. She said:
The institutional growth over the past 12 months has been amazing. We see strong signs that this will accelerate over the next year.
Genesis Trading is a full service prime digital currency brokerage. The company offers market participants a fully integrated platform to trade, borrow, lend and hold digital assets. It is a wholly owned subsidiary of the Digital Currency Group (DCG), one of the largest private investors in blockchain and digital asset companies.
Acheson stated that institutional investment growth will result from both direct investments in tokens and companies in the crypto ecosystem. She added that investments in infrastructure companies for the crypto market would likely be accelerated given “the sums of money out there looking for returns.”
She explained that institutional investors are expanding their interest beyond Bitcoin and Ether to smaller and riskier cryptocurrencies in order to diversify their portfolios.
“One of the big developments of the last 12 months was the migration of Bitcoin mining out of China. Much of it went to the United States … Even more important for the bitcoin market is access to finance for bitcoin miners, ”continued Acheson.
Other indicators that institutional adoption of cryptocurrencies is increasing include a survey by Nickel Digital Asset Management, which shows that 82% of institutional investors and asset managers plan to increase their cryptocurrency exposure until 2023. Institutional investors are Heat up to crypto, although a. expected big correction in the crypto market.
In October, the global investment bank JP Morgan said that “institutional investors seem to be returning to Bitcoin, perhaps seeing it as better inflation protection than gold.” A growing number of large banks are offering their customers crypto products and services due to the high demand. For example, the US bank said in October that it was rolling out crypto custody services because strong demand from institutional clients.
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Source: Crypto News Austria