Results of August: the Growth in institutional interest and a gradual market recovery
In emerging markets the price of assets often does not correlate with the success of basic industry. It seems that a similar situation exists in the sphere of cryptocurrency: it is experiencing rapid growth, popularity and success, though the prices say otherwise.
In a recent speech on CNBC the CEO and founder of BitMEX, Arthur Hayes noticed that in the third quarter of 2018 “crypto party resume.” But, according to some optimists, the party is already underway.
With regard to the proliferation of cryptocurrencies among retail and institutional investors, this process appears to be still very dynamic.
Goldman Sachs, one of the most respected companies on wall street, recently hinted that the cryptocurrency will launch Depositary services, which will attract interest, but while the apprehensive investors. Goldman is not the only recognized market giant which refers to the assets on the blockchain. For example, Northern Trust, which manages assets of $10.7 trillion., works closely with cryptocurrency hedge funds. Many other traditional institutions are experiencing the same enthusiasm for this industry and the innovators in traditional companies are doing everything in their power to start with cryptocurrency assets.
Even though the trade volume of trade on cryptomeria declined, retail investors are still willing to invest in cryptocurrencies. Ordinary citizens of Western countries are reluctant to transfer money into crypto, but the citizens of the States in financial crisis, seek refuge in bitcoin: thousands of people in Turkey and Venezuela are considering crypto-currencies as alternatives to Fiat.
The head and Creator of Coinbase Brian Armstrong in a recent interview with Bloomberg shared an intriguing idea on the distribution and growth of the industry. Like many others, Armstrong compared the decentralized technology of the Internet boom in the beginning of the century, noting that even in periods of market downturn the wide distribution possible. The head of Coinbase, explained:
Expectations of people are very different, but recognition in the real world and cryptocurrency every year is steadily increasing.
Maybe in August 2018 became one of the most important months in the modern cryptocurrency history as the Intercontinental Exchange (ICE) in conjunction with Microsoft, Starbucks and several other giant corporations and venture capital investors launched Bakkt. It is expected that Bakkt will become a universal trading platform “institutes, private entrepreneurs and individual users of digital assets.” Recently, the open platform preparing since November to offer futures on bitcoin that will play into the hands of the capitalization of the major cryptocurrency, as noted by analyst Research Group Ironwood. Following the approval of the Commission on urgent exchange trade instrument is likely to attract the interest of thousands, if not millions of investors. This is just one of the many reasons Brian Kelly, CNBC cryptocurrency analyst, calls the launch Bakkt “the main news of the year.”
If you talk about products that change the industry, Binance recently unveiled its future exchange, which, according to the creators, will carry out a revolution in the issue and delivery of crypto-currency assets, as well as in the trade. American investors gained access to exchange traded bonds (ETN) Tracker One Bitcoin, which is traded on the Swedish stock exchange Nasdaq Stockholm. The head and Creator of Fundstrat Tom Lee in his time compared with the long-awaited ETF ETN, noting that the emergence of Bitcoin Tracker One (they were listed on the stock exchange in 2015 and since then it is available to European investors) can be an incentive for the industry. Although the product did not work as expected to see Whether supporters of the ETN, ETF and their analogues continue to hope for the best.
From the first years of existence of bitcoin regulators around the world are making every effort to study and understand the concept and spirit of scriptaction. Although for the most part of the decade, of course, was the confusion that many government officials had concerns about bitcoin and other digital assets, regulators gradually began to realize the nature of this revolution that changes the world. Now regulators in different parts of the globe (in USA, Japan, etc.) are going to focus on the protection of investors, and not to stigmatize any and all phenomena associated with cryptocurrencies. Recently, this ideology is adequate for the protection of consumers was evident in the decision of the Commission on securities and exchange Commission (SEC), which deferred the verdict on the bitcoin ETF from VanEck, and SolidX. The Commission rejected (and then promised to reconsider) applications for nine ETFs from ProShares, Direxion and GraniteShares. As can be seen from the legal documents relating to the SEC regulations, the Supervisory authority called the concern manipulation the main reason for refusal, noting that the markets bitcoin lacks scale to counteract the intruders.
Reaffirming that the regulators intend to give kriptosistem opportunities, the high Commissioner of the financial services Agency of Japan Toshihide Endo said it intends not to provide cryptocurrency industry with excessive pressure: he prefers her “to cherish on the basis of the effective legislative base.”