Contesting the argument that cryptocurrency is a fading fad, almost two-thirds of financial executives are positive about the future of cryptocurrency, believing it is here to stay.
This was the finding of a recently released report by the financial consulting firm, Greenwich Associates, which found that more than 70% of institutional finance executives are optimistic that digital currencies will continue to have a place in the finance industry.
Regulatory framework needed to drive crypto innovation and growth
A total of 141 institutional investment executives were surveyed for the report, the majority of whom believe that developing a regulatory framework around cryptocurrencies will result in its innovation, sustainment, and growth. A large number of the respondents believe that even if some digital coins fail, other cryptocurrencies will survive and thrive.
10% of the finance executive surveyed believe that without mainstream adoption, cryptocurrencies will remain a fringe asset class, while another 10% believe a regulatory crackdown of the industry will wipe out digital currencies entirely.
Speaking of the report’s findings, Richard Johnson, author of the report and a vice president in Greenwich Associate’s Market Structure and Technology group, said:
“They’re [finance executives] telling us they don’t think it’s [cryptocurrency] going away and that it’s here to stay.”
An unpredictable year for cryptocurrencies
The confidence shown among finance executives about the future of cryptocurrency can be seen as good news in what has been an unpredictable year for digital assets. In June this year, bitcoin dropped to a more than four-month low. However, from September 12, the digital currency has been rising in price. The rise in bitcoin’s value has helped push other digital currencies up, with ether seeing an impressive price increase, its first rise since mid-August.
Despite its volatile nature, it seems finance executives recognize the merits and potential of cryptocurrency, as shown by the optimism revealed in the recent Greenwich Associates’ survey.
Such optimism follows news of similar confidence about cryptocurrency’s future among consumers and investors. The MidYear 2018 Crypto Survey compiled by SharePost found that 72% of consumers and 52% of investors plan to increase their cryptocurrency holdings in the next 12 months.
Gabrielle Pickard-Whitehead is a freelance journalist and copywriter based in the Peak District, UK. Since 2006, Gabrielle has followed her passion for writing and has sculptured a rewarding career out of her love for the written word. Gabrielle thrives on creating compelling content related to current affairs, politics, financial news and the latest advancements in technology and innovation. Gabrielle is excited about having the chance to write about the constantly-evolving world of crytocurrency and enabling people to learn more about this rapidly-advancing digital asset.