Financial Industry Players Heading To Crypto Space

Financial Industry Players Heading To Crypto Space In a recent report published by Morgan Stanley, several institutional players from the worldwide finance industry are heading towards Bitcoin and the overall crypto market. The banking giant, Morgan Stanley’s research team released a report showing the increase in institutional participation in the digital currency space. On Halloween this year, the banking firm released an update to the report called ‘Bitcoin Decrypted: A Brief Teach-In and Implications’. In the report, the company highlights the trends over this past year for Bitcoin and the crypto market as a whole. However, Morgan Stanley said that despite the institutional investment is on a rise, the retail participation is stagnant. As said by Coinspeaker:

“[the] Morgan Stanley report started by specifically emphasizing on the “rapidly morphing thesis”. The thesis noted Bitcoin as “digital cash” and said that investors had full confidence in the cryptocurrency. Furthermore, the thesis noted how Bitcoin has emerged as an answer to the issues within the traditional financial system.”

Furthermore, the thesis mentioned multiple problems which have helped the Bitcoin ecosystem to evolve as a whole. It takes a tour of all things like the number of hacks, price stability, hard forks and so on. Also, it praises one of the key features, the permanent blockchain ledger which records all transactions. It’s worth discussing that the thesis also talks about the fact that Bitcoin has emerged as the ‘rapidly morphing thesis’ for nearly a year now. Since the start of 2016, there has been a gradual increase, in the crypto investments, made in institutional crypto products. Venture capital firms, hedge private equity companies and hedge funds which have stored over $7 billion to date. This number is even expected to rise as firms like Fidelity and Intercontinental Exchange get their platforms released. Intercontinental Exchange is currently preparing itself for the release of its Bakkt platform expected for the end of the year. Moreover, the Intercontinental Exchange revealed that the Bakkt platform will also offer physically settled Bitcoin futures contracts. This should lead to more liquidity in the market. However, the financial services massive, Fidelity Investment announced its crypto centric platform Fidelity Digital Assets. The platform will provide storage for cryptocurrencies and trading solutions specifically aimed towards institutional players in the space. What are your thoughts? Let us know what you think down below in the comments!