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Despite Recent Volatility, Majority of Financial Experts Remain Bullish on Cryptocurrency

· March 17, 2018 · 2:00 pm

Despite recent market volatility and declining valuations, more than half of investors exposed to cryptocurrency plan on purchasing more over the next year.


Undeterred Optimism

Research conducted by international communications agency Citigate Dewe Rogerson has revealed that 56 percent of cryptocurrency investors are planning on purchasing more digital assets over the next 12 months.

Meanwhile, 31 percent of cryptocurrency investors are planning on holding all or selling some of their digital assets, while 8 percent plan on dumping it all.

Bitcoin volatility

Recent weeks have seen the prices of cryptocurrencies plummet. At press time, Bitcoin (BTC) is trading at $8,346.50, which is well off its all-time high of over $20K. Likewise, Ethereum (ETH) is trading at $608.65, Ripple (XRP) at $0.68, Litecoin (LTC) at $164.10, and Cardano (ADA) at $0.17 — all significantly lower than their peaks a few months ago.

Nevertheless, financial professionals reported optimism to Citigate. 54 percent noted that they expect the valuations of cryptocurrencies to rise over the next 12 months, citing increased regulation and adoption as positive drivers in price. On the other hand, 32 percent expect a drop. The same percentage of respondents also expect a “dramatic” increase in cryptocurrency valuation from now until 2021.

Citigate Dewe Rogerson executive director Phil Anderson told City A.M.:

At the start of the year, the market capitalisation for cryptocurrencies was around $800bn (£577bn), but by 2021 over half of the financial professionals (59 per cent) we interviewed expect it to be over $1 trillion, while 15 per cent anticipate it to be more than $2 trillion.

Tenfold Return in Bitcoin Over Three Years

This positive sentiment mirrors that of others in the financial industry — like Bitwise Asset Management Vice President of Research and Development Matt Hougan, who stated last month his belief that cryptocurrency is a multi-trillion dollar opportunity. Hougan explained:

The road between now and trillions of dollars will be extremely rocky … we could get there in a few months. We could get there in a few years. We could go down 50% before we get there … [but] I think the pathway to a trillion dollars eventually is fairly certain. How we get there is going to be volatile and uncomfortable. I think we’ll get there pretty soon, though. I wouldn’t be surprised if we ended the year with an accumulated market cap over a trillion dollars.

Are you planning on increasing your cryptocurrency portfolio, or are you looking to simply hold on to what you’ve got? Do you have plans to sell it all? Let us know in the comments below!


Images courtesy of AdobeStock, Bitcoinist archives, and Pixabay.

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Pro 29

Blythe Masters Startup Digital Asset Holdings Struggles For Funding

Source: bitcoin

Blythe Masters Startup Digital Asset Holdings Struggles For Funding

The year 2015 has been quite a significant one for Bitcoin regarding the amount of VC funding flowing into the world of digital currency. However, not every Bitcoin startup is seeing its fair share of success, despite initial excitement regarding what they want to bring to the table. Blythe Masters’ Bitcoin startup – called Digital Asset Holdings – is struggling to secure additional funding,

Also read: Samsung Pay Bringing More Competition to Bitcoin by Enabling Online Shopping in 2016

The Digital Asset Holdings Struggle Is Very Real

When a former JPMorgan Chase star banker is having a hard time securing deals with other investors for her new Bitcoin startup, things are looking rather bleak. Although it has to be said these struggles are in part caused by Blythe Masters herself, as Goldman Sachs and Citigroup found out JPMorgan was getting a better deal compared to other interested parties.

Digital Asset Holdings is looking to explore the boundaries of blockchain technology, which is of great interest to any financial institution around the world. As one would come to expect, among interested parties are other banks and financial firms, some of which are directly competing with Blythe Masters’ former employer JPMorgan Chase.

But there are other factors at play in this story as well. Despite the general interest in blockchain technology, financial players are doubtful about the solutions being worked on by Digital Asset Holdings. Blythe Masters has cobbled together most of her startup’s offering by purchasing smaller startups and companies working on the same goal.

With so much competition in the technology space right now, it is difficult for startups to stand out among other companies. Even the blockchain technology development sector is getting oversaturated at this rate, and many companies have made bold claims they have yet to back up. Investors know this process takes time, but their patience isn’t endless either.

No one doubts Blythe Masters can be a valuable addition to the world of Bitcoin and blockchain technology. Her track record at JPMorgan Chase is quite impressive, as she helped develop the credit default swap in the 1990s. Projecting this knowledge to a different breed of technology will be quite a challenge, though.

Investors Are Not Convinced About The Solution

The major thing when it comes to attracting startup funding is ensuring potential investors like the product or service being offered. In the case of Digital Asset Holdings, investors aren’t convinced the startup is providing a service that will address the real problems in the loan market, let alone improve the situation.

Furthermore, rumours are spreading as to how Digital Asset Holdings is struggling to integrate the technology they purchased from other startups into a whole and complete ecosystem. This leads to a lot of frustration among the acquired employees as well, which is not beneficial to the development of this service.

What are your thoughts on Digital Asset Holdings? Will they secure enough funding to stay in business? Let us know in the comments below!

Source: NY Times

Images courtesy of Digital Asset Holdings, Blythe Masters, Shutterstock

The post Blythe Masters Startup Digital Asset Holdings Struggles For Funding appeared first on Bitcoinist.net.

Blythe Masters Startup Digital Asset Holdings Struggles For Funding

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