There is definitely a point in launching their own cryptocurrency firms for Wall Street giants – investment companies and asset managers continue to be interested in investing in digital assets, experts say. If a major financial player with a big name launches his crypto platform, he will be able to raise significant funds.
“Large traditional institutional investors who have been in the market for a long time and have developed many connections definitely prefer to deal with counterparties that have been around for years and are regulated in a traditional way,” explains Gautam Chhugani, Senior Digital Assets Analyst at Bernstein.
A recent survey of 250 asset managers by a division of the consulting firm Ernst & Young found that about half of the respondents would abandon the services of “native crypto” firms and transfer funds to a platform launched by a traditional financial institution. 90% of those surveyed said they would trust such firms to store their digital assets.
The publication’s experts emphasize that large traditional financial companies usually make more transparent platforms, which is also important for institutional investors.
At the beginning of the year, it was reported that the US Securities and Exchange Commission began reviewing financial advisers from Wall Street for the provision of digital asset custody services.
Source: Bits
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