One Out Of Five Financial Institutions Is Considering Cryptocurrency Trading

Thomson Reuters
  • According to a study by Thomson Reuters: 20% of the 400 financial institutions surveyed plan to enter the cryptocurrency market within a year.
  • The cryptocurrency market is being abandoned by traditional finance but interest is growing and it could support price growth.
  • Goldman Sachs recently hired its first cryptocurrency specialist and plans to open a trading service.
  • You can follow the evolution of cryptocurrency prices on Markets Insider.

Fifty financial institutions plan to engage in trading cryptocurrencies in the year, according to a survey of Thomson Reuters.

A survey of 400 customers revealed that one in five is considering crypto, and a majority is considering entering the market within the next six months.

Interest in crypto-currencies arose in the second half of 2017, when the price of bitcoin soared. The public interest culminated in the launch of the bitcoins in December by GCE and CBOE. But crypto-currencies have been little exchanged and institutional interest remains less.

According to the Autonomous Next research fintech, there are 200 speculative funds specializing in cryptocurrency around the world, but their combined assets do not represent more than $ 5 billion.

financial institutions plan to engage in trading cryptocurrencies in the year
financial institutions plan to engage in trading cryptocurrencies in the year

Neill Penney, co-director of trading at Thomson Reuters, said: “Cryptocurrencies still represent a relatively small part of the capital market, but the survey clearly indicates that this neglected segment is entering the industry. This is a major change from last year. ”

The cryptocurrency market has stagnated since the beginning of the year, falling from $ 800 billion worth in December to about $ 400 billion on Monday. Many “crypto-bulls” believe that an influx of institutional money could help the market to recover.

Bill Barhydt, CEO of Abra, the American Express-supported cryptocurrency startup, told Business Insider last month: “I’ve talked to hedge funds, wealthy individuals, and even commodity speculators. They are following the vagaries of the cryptocurrency markets and they see it as a great opportunity.When that happens, hell will go wild. ”

On Monday, Goldman Sachs has hired its first employee exclusively dedicated to digital currencies while Wall Street wants to open a service specialising in the trading of bitcoin.

Jessica Blair

Jessica Blair is the lead editor of Weird News Ledger. Before joining Weird News Ledger, Jessica worked as a national political reporter for Postmedia News. She has covered many political events on and off since 2006, writing for Sun Media, and producing for CTV and for CBC.

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