We wrote a lot about the fact that the market is preparing for institutional investors’ getting into crypto. They must breathe new life into this sphere and begin a new stage of its development. We are not original, because such an approach to the market situation has long been dominant in the community. However, at the Web Summit 2018, which was held in Lisbon, the opposite point of view was expressed.
Nikolay Storonsky, director and creator of a successful startup Revolut, said that the interest of large investors in the crypto industry is not as great as we think. Big business is reluctant to invest in digital assets.
“Unless these big institutional investors and hedge funds move heavily into the crypto world I just don’t think banks will move because they simply try to make money from their clients,’’ Storonsky said. “There is no interest from big institutional investors so far.’’
However, the successful fintech entrepreneur was not very categorical. He believes that in 2019, the cryptocurrency market expects shifts for the better. In the foreseeable future, cryptocurrencies will play a leading role in the fintech sector. But the banking system and the representatives of Wall Street generally will not be involved in this.
If Storonsky did not believe in the future of the cryptocurrency, he wouldn’t be so deeply involved in services associated with it. The volume of trade with cryptos (Bitcoin, Litecoin, Ethereum, etc.) in Revolut fell by 80%. But he is still in business.
Everyone can be wrong. But even if Nikolay is mistaken in his conclusions, his opinion can in no way be ignored. Revolut is already valued at $1 billion. The head of such a large enterprise may have valuable insider information. In fact, it does not discard the institutionalization of the market. He only hints that this will not happen as soon as we would like. We do not refuse from our opinion that was stated earlier, but we take this information into account for the subsequent analytical work.
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