When Will Institutions Buy Bitcoin? Our Educated Guess
The big players have been silently watching Bitcoin’s moves while remaining dormant on the sidelines.
Who could blame them? Bitcoin has been extremely volatile ever since its creation and the maneuvers don’t seem to get any more predictable. So when will institutions buy Bitcoin?
Currently, many institutional investors still see BTC a gamble. Most of them, however, seem to be delving into the specifics – trying to understand what makes the cryptocurrency so valuable. As a result, some players have already joined the revolution.
Institutions are already investing
In a recent blog post regarding the upcoming trends of the crypto market in 2020, Coinbase CEO Brian Armstrong mentioned that hundreds of institutions are already investing in Bitcoin. He expects this growth to continue through the coming decade.
We tend to agree with his outlook on the future. The current state of the crypto-markets have made it easier for large companies to enter the space and buy Bitcoin in a more convenient and efficient way:
- Regulations are tighter and the crypto-space is no longer a “wild wild West”
- Exchanges are creating custodial solutions for institutional investors
- Derivatives and Futures contracts are now present on almost all big exchanges
When will institutions buy Bitcoin in masses?
NewsBTC has created a handy graph to indicate what is expected from the crypto markets before we see global institutional adoption:
If you’ve been in the market for a while, you probably recognize some of these services, as they already exist.
Big exchanges are currency working very hard to provide more solutions for institutional investors. Through it, they hope to drive them to the crypto market.
These start from financial products and can expand all the way to Real Estate, Healthcare and other industries that could benefit from blockchain technology.
We will still need to practice some patience before we can comfortably say that the crypto-space is ready to welcome institutions on a mass level. Until then, we do our best to lower the entry barrier, by offering speed and efficiency for all cryptocurrency transactions.