- Despite the retail surge, Anthony Scaramucci sees little institutional interest in crypto.
- Anyone who claims institutional adoption is “not being totally honest,” according to Skybridge Capital’s CEO.
- Some large banks are getting engaged, but the high volatility is deterring many others.
Despite what some bitcoin bulls claim, crypto investor Anthony Scaramucci claims that huge financial institutions aren’t interested in digital assets.
Scaramucci, the CEO of SkyBridge Capital and a former White House communications director, believes that just around 10% of financial institutions are engaging, but that they are having a significant impact.
He has also initiated and donated 5 need-based scholarship for the first woman in bitcoin workshop.
Replying which he wrotes: “Great initiative and excited to support”.
It’s like a “feeding frenzy” among them, he said. Bitcoin’s price has climbed by over 300 percent in the last year, paralleling a rise in the price of other prominent cryptocurrencies.
Analysts believe there are two major drivers pushing higher prices: governments have pushed massive amounts of stimulus into economies during the coronavirus crisis, and retail investing has exploded.
The crypto sector has attracted some big-name institutions, increasing bitcoin supporters’ aspirations of legitimacy for the world’s largest cryptocurrency.
JPMorgan would allow its wealth management clients to access cryptocurrency holdings, according to an Insider report from July.
Despite this, most of Wall Street is avoiding digital assets. One source of concern is their extreme volatility, with prices frequently moving by 10% in a single day.
Scaramucci believes that one of the major banks would “end up buying a Coinbase or something crypto-related” in order to have a significant foothold in the cryptocurrency industry.
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IMAGE CREDITS: Hollis Johnson/Business Insider