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One Fifth of The Finance Firms Likely to Trade Cryptocurrencies

Cryptocurrencies | Thomson Reuter Survey | Cryptocurrency trading | Finance Firms | Cryptocurrency news

A survey by Thomson Reuters has revealed that out of the 400 finance firms that it surveyed, 20% of them are considering launching crypto trading with the next 12 months.

The spike of interest in cryptocurrencies goes back to the second half of 2017 when the price of bitcoin soared to a record breaking price value of $20,000. With this, CME and CBOE are launching bitcoin futures in December. However, institutional interest in cryptocurrencies remains a niche concern.

According to fintech research firm Autonomous Next, there are over 200 cryptocurrency-focused hedge funds globally, but their combined assets under management are only $5 billion at a maximum.

Neill Penney, co-head of trading at Thomson Reuters, said,

“Cryptocurrency is still a relatively small part of the trading market, but this survey makes clear this niche segment is starting to enter the mainstream of the financial services industry. This is a major change from a year ago.”

The cryptocurrency market has plunged really low ever since 2018 started, steeping to a value from $800 billion in value in December to around $400 billion as of Monday. Many crypto bulls believe the tax formalities led to the huge crypto sell off, highly affecting the prices.

Bill Barhydt, the CEO of American Express-backed cryptocurrency startup Abra, told Business Insider last month

“I talk to hedge funds, high net worth individuals, even commodity speculators. They look at the volatility in the crypto markets and they see it as a huge opportunity. Once that happens, all hell will break loose.”

On Monday it was reported that Goldman Sachs has hired its first employee to focus exclusively on digital currencies as the Wall Street bank explores creating a bitcoin trading desk. On the other hand, Citigroup is also on a hunt to fill in two important positions at the company which have a marvelous expertise in Cryptocurrencies.

KryptoMoney.com publishes latest news and updates about Bitcoin, Blockchain Technology ,Cryptocurrencies and upcoming ICO’s.

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