{"id":7278,"date":"2022-09-21T01:17:46","date_gmt":"2022-09-21T01:17:46","guid":{"rendered":"http:\/\/www.cryptoheretostay.com\/?p=7278"},"modified":"2022-09-21T01:17:47","modified_gmt":"2022-09-21T01:17:47","slug":"fear-of-the-unknown-holds-back-tradfi-investors-from-crypto-bloomberg-analyst","status":"publish","type":"post","link":"https:\/\/cryptoheretostay.com\/?p=7278","title":{"rendered":"\u2018Fear of the unknown\u2019 holds back tradfi investors from crypto \u2014 Bloomberg analyst"},"content":{"rendered":"<script type=\"text\/javascript\">\r\namzn_assoc_placement = \"adunit0\";\r\namzn_assoc_tracking_id = \"totafreearti-20\";\r\namzn_assoc_ad_mode = \"search\";\r\namzn_assoc_ad_type = \"smart\";\r\namzn_assoc_marketplace = \"amazon\";\r\namzn_assoc_region = \"US\";\r\namzn_assoc_default_search_phrase = \"crypto\";\r\namzn_assoc_default_category = \"All\";\r\namzn_assoc_search_bar = \"false\";\r\namzn_assoc_title = \"\";\r\namzn_assoc_rows =\"1\";\r\n<\/script>\r\n<script src=\"\/\/z-na.amazon-adsystem.com\/widgets\/onejs?MarketPlace=US\"><\/script>\n<p>Jamie Coutts, Crypto Market Analyst for Bloomberg Intelligence argues that \u201cfalsehoods\u201d and \u201cfear of the unknown\u201d is what has been holding back traditional portfolio managers from investing in cryptocurrency.\u00a0<\/p>\n<p>Speaking to Cointelegraph during the Australian Crypto Convention over the weekend, Coutts argues there has been an ongoing \u201cfalsehood\u201d that \u201cthere is no intrinsic value in blockchains.\u201d<\/p>\n<p>\u201cThese asset managers own stocks, like Amazon and Facebook [&#8230;] which for the first several years these companies had no earnings,\u201d explained Coutts, adding that Facebook in its infant stages \u201cdidn\u2019t have profit [&#8230;] or seen to have any intrinsic value.\u201d<\/p>\n<p>\u201cYet they could understand there is a network value here, that the network is growing, that the value of the asset accrues from how many people are using the products.\u201d<\/p>\n<p>Coutts believes that \u201calthough not all blockchains are cash generative assets, including Ethereum\u201d there is certainly intrinsic value there. <\/p>\n<p>However, the Bloomberg analyst said he couldn\u2019t quite put his finger on why there was a hesitation to embrace cryptocurrency, ruling out lack of regulation as the reason. <\/p>\n<p>\u201cRegulation can\u2019t be one of them. Let me just restate that. Regulation is always a concern, but BTC is regulated.\u201d <\/p>\n<p>Coutts said \u201cthere isn\u2019t really a regulatory risk\u201d as crypto became regulated \u201cthe moment\u201d it became a taxable item that you had to \u201cdisclose to the tax authorities in whatever jurisdiction you\u2019re in.\u201d <\/p>\n<p>Instead, Coutts said it could be \u201cjust the fear of the unknown,\u201d adding that asset managers ignoring or choosing not educate themselves on cryptocurrency is a missed opportunity.<\/p>\n<p>Coutts suggested that those hesitant to invest in cryptocurrency should look beyond the market volatility and focus on what cryptocurrency actually brings to the table.<\/p>\n<p>\u201cThe best thing that we can do is understand the global trends that are taking place [\u2026] debasement and technological innovation, which crypto is at the intersection of. That provides the wind behind the sails of crypto as an asset class that should be considered for some allocation.\u201d<\/p>\n<p><em>Jamie Coutts speaking at the Australian Crypto Convention on Sept. 17<\/em><\/p>\n<p>Last month, Swiss wealth management group Picket group advised against crypto investments \u201camid the recent industry turmoil.\u201d <\/p>\n<p>Picket Group CEO, Tee Fong, acknowledged that crypto is \u201can asset class that we cannot ignore\u201d however doesn\u2019t think there is \u201ca place for private bankers and for private bank portfolios.\u201d<\/p>\n<p><strong><em>Related: <\/em><\/strong><strong><em>Does the Ethereum Merge offer a new destination for institutional investors?<\/em><\/strong><\/p>\n<p>Others suggest that institutional investors remain interested in crypto-related investments despite the market conditions. <\/p>\n<p>Chief Investment Officer of Apollo Capital, Henrik Anderson, told Cointelegraph on Sept. 14 that although institutional interest has been slow in gaining momentum, there are many waiting on the sidelines, timing the market.<\/p>\n<p>Anderson is optimistic about the future given that we\u2019ve already \u201cseen several of the major banks here in Australia taking an interest in digital assets,\u201d with \u201cANZ and NAB\u201d choosing to focus on \u201cstablecoins and traditional asset tokenization rather than crypto investments specifically.\u201d<\/p>\n<p><script type=\"text\/javascript\">\r\namzn_assoc_placement = \"adunit0\";\r\namzn_assoc_tracking_id = \"totafreearti-20\";\r\namzn_assoc_ad_mode = \"search\";\r\namzn_assoc_ad_type = \"smart\";\r\namzn_assoc_marketplace = \"amazon\";\r\namzn_assoc_region = \"US\";\r\namzn_assoc_default_search_phrase = \"bitcoin\";\r\namzn_assoc_default_category = \"All\";\r\namzn_assoc_search_bar = \"false\";\r\namzn_assoc_title = \"\";\r\namzn_assoc_rows =\"1\";\r\n<\/script>\r\n<script src=\"\/\/z-na.amazon-adsystem.com\/widgets\/onejs?MarketPlace=US\"><\/script><br \/>\n<br \/><a href=\"https:\/\/cointelegraph.com\/news\/fear-of-the-unknown-holds-back-tradfi-investors-from-crypto-bloomberg-analyst\" target=\"_blank\" rel=\"noopener\">Source<\/a><\/p>\n","protected":false},"excerpt":{"rendered":"<p>Jamie Coutts, Crypto Market Analyst for Bloomberg Intelligence argues that \u201cfalsehoods\u201d and \u201cfear of the unknown\u201d is what has been holding back traditional portfolio managers from investing in cryptocurrency.\u00a0 Speaking to Cointelegraph during the Australian Crypto Convention over the weekend, Coutts argues there has been an ongoing \u201cfalsehood\u201d that \u201cthere is no intrinsic value in [&hellip;]<\/p>\n","protected":false},"author":1,"featured_media":7279,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":"","_wp_rev_ctl_limit":""},"categories":[2],"tags":[],"class_list":["post-7278","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-bitcoin-news"],"_links":{"self":[{"href":"https:\/\/cryptoheretostay.com\/index.php?rest_route=\/wp\/v2\/posts\/7278","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/cryptoheretostay.com\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/cryptoheretostay.com\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/cryptoheretostay.com\/index.php?rest_route=\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/cryptoheretostay.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=7278"}],"version-history":[{"count":1,"href":"https:\/\/cryptoheretostay.com\/index.php?rest_route=\/wp\/v2\/posts\/7278\/revisions"}],"predecessor-version":[{"id":7280,"href":"https:\/\/cryptoheretostay.com\/index.php?rest_route=\/wp\/v2\/posts\/7278\/revisions\/7280"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/cryptoheretostay.com\/index.php?rest_route=\/wp\/v2\/media\/7279"}],"wp:attachment":[{"href":"https:\/\/cryptoheretostay.com\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=7278"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/cryptoheretostay.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=7278"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/cryptoheretostay.com\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=7278"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}