JPMorgan Discloses On Bitcoin and Cryptocurrencies: Is There Institutional Interest?

Jared Gross, head of corporate portfolio strategy at JPMorgan Asset Management, told Bloomberg that crypto and institutional investors cryptocurrency discussed his interest in the asset class.

JPMorgan Representative Jared Gross Claims Crypto Asset Class Is Not Interested By Institutional Investors

Senior investment strategist said:

“Crypto as an asset class is virtually non-existent for most large institutional investors… The volatility is so high, there is no real return you can point to making it very difficult.”

gross, of bitcoin He added that it was “obvious” that it did not prove to be some sort of digital gold or port asset, as some had hoped. Gross continued:

“Most institutional investors are probably sighing that they haven’t entered this market, and they probably won’t any time soon.”

The crypto market has declined significantly this year as the Fed and other major central banks around the world have raised interest rates to fight inflation. There have also been crashes and bankruptcies in the industry, including the latest collapse of crypto exchange FTX.

On the other hand, a growing number of banks and financial institutions are offering crypto products and services to their institutional clients.

For example, investment giant State Street said in September that it has seen a steady demand for crypto assets from institutional investors. Nasdaq recently established a crypto division called “Nasdaq Digital Assets”, citing growing demand among institutional investors.

Also, a survey published by crypto exchange Coinbase in November showed that institutional investors increased their share of the industry during the crypto winter.

*Not investment advice.