Why Are You Still Sitting on the Sideline? The World is Investing in?Crypto.

Why Are You Still Sitting on the Sideline? The World is Investing in?Crypto.

Is it too late to invest in crypto?

If you still don’t own digital assets in your portfolio, this might be the time to consider adding them. A few years ago, cryptocurrency was considered by the mainstream media to be nothing more than a speculative asset, but that era is over. In the past two years, the sector has considerably evolved, and more utility was brought to the projects in several areas. As a result, it is safe to assume that the 2020s will be the first entire decade where cryptocurrency is a legitimate asset class, and those who don’t accept that statement are likely to be missing out. Here is why:

Reason 1: Top Banks are now investing in?crypto

According to a report by Blockdata in 2021, out of the largest 100 banks in the world when considering AuM (assets under management), more than 50 have invested in cryptocurrency and/or blockchain-related companies. Either directly or through subsidiaries. Banks that were once strictly against Bitcoin and whose directors, chairmen, and CEOs shared their opinions publicly are now allocated in the sector:

  • Barclays: 19 investments
  • Citigroup: 9 investments
  • Goldman Sachs: 8 investments
  • J.P. Morgan Chase: 7 investments
  • BNP Paribas: 6 investments

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Reason 2: Crypto regulation is slowly taking shape

The trillion-dollar crypto industry is too large to be mismanaged. So naturally, regulations will start to surge and follow the bureaucratic political/legal processes to come into force. The White House is about to begin a push for cryptocurrency regulation. Although most of Congress is against this disruptive sector, it is a matter of time (and future elections) until there is a shift in this scenario. In February, Congressman Warren Davidson introduced the?“Keep Your Coins Act”, which aims to protect the ability of investors to act as self-custodians and conduct peer-to-peer transactions.

The White House’s Executive Order is an essential step in the right direction on how to regulate cryptocurrency. The globally coordinated approach, encompassing international cooperation of regulation for crypto-assets, will be economically optimal and protect consumers from illicit activities and fraud.

Reason 3: This is still a nascent industry — with a 10X potential

There are different approaches to why there is upside potential for the crypto industry, and asymmetric returns in crypto assets are very feasible in the next decade:

  • Bitcoin market capitalization is still approximately 1/10 of gold
  • The total DeFi market cap is still only ~1.6% of the $8 trillion market value of the global financial services industry (according to?Grayscale DeFi Report)
  • There is a high correlation between the global internet user adoption in the 90s and the growth of crypto users since 2016. Crypto currently has 300 million users, and the internet has 4.95 billion. With a world getting even more globalized and digitalized year after year, digital assets are likely to lead this change.

Traditional finance will merge with the digital, decentralized finance led by blockchain and crypto-based projects since they offer solutions that the current sector can’t. It is an international, 24/7 market. It has an increased asset class digitization and retail participation, and there is equity and fractional share trading.

Why are you still sitting on the sideline?

Strategists such as?Ark Investment’s?Cathie Wood are bullish on cryptocurrencies based on the belief that asset managers will eventually allocate up to 5% of their portfolios to them. Relevant global companies such as Tesla, PayPal, and Mastercard have invested in the sector, and its companies and the largest cap banks have also done the same. In addition, governments such as El Salvador and Liechtenstein are moving forward with accepting and adopting this market. Everything points out that we are beginning a global disruption in the financial sector, so why not belong positioned in it?

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If you are an accredited investor and would like more information on our offerings, please?Contact Us.

Joe Robert?is currently the Chief Executive Officer of Robert Ventures, with over 20 years of asset management experience. Since he started Joe has created predictable double-digit returns for investors & Partners. Joe has invested in seed rounds with equity and tokens, along with a portfolio of Bitcoin, Ethereum, and other top cryptocurrencies.

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