Cryptocurrency wallet startup Blockchain recently announced a service which will target institutional investors.
Named Blockchain Principal Strategies, the platform will specialize in offering institutions and family offices fully customized access to both markets and research.
Investment in promising startups
Blockchain Principal Strategies will provide investors with an over-the-counter trading desk, which will operate as a “matchmaker and direct counterpart to clients, executing trades and managing associated risks.”
Clients will also be provided with the opportunity to take advantage of managed investment offerings, including access to thoroughly evaluated early token offerings, as well as being able to make direct investments in promising startups.
Breanne Madigan, Institutional Sales and Strategy head at Blockchain said – “I joined Blockchain to help modernize the financial system, and launching BPS is the first step in our longer-term strategy to execute on that vision,”
“In addition to the BPS platform itself, we will also offer educational and networking opportunities with hopes of creating a broader, well-informed community around digital currencies moving forward.”
Research carried out by Willis Towers Watson shows that pension, insurance, mutual, endowments, and sovereign wealth funds control around USD 131 trillion of the worlds total wealth.
Many hold the opinion that the entry of large, institutional investors would signal the beginning of digital assets becoming legitimized.
Speaking to CNBC in April of this year, Ari Paul, the chief investment officer of cryptocurrency investment company BlockTower Capital commented – “Even a small dollar amount is legitimizing. If that happens, every family office says, ‘Oh, Yale’s in’ That gives us the excuse.’”
Investment with peace of mind
CEO and Co-Founder of Blockchain, Peter Smith, said – “We are thrilled to debut Blockchain Principal Strategies, an institutional grade platform customized for institutions, family offices, and individual investors,”
“BPS provides clients the opportunity to invest in digital assets with the same peace of mind and security that has become synonymous with the Blockchain name.”
A research paper written by Jim Kyung-Soo Liew, an assistant professor at the John Hopkins University Carey Business School in partnership with Levar Hewlett, a Maryland State Retirement and Pension System quantitive risk management associate, suggests that bitcoin is an excellent way for more prominent investors to diversify their portfolio.
“We argue that the institutional investor should seriously consider cryptocurrencies for inclusion into their portfolios at the 1-2% allocation range … Although this market is relatively small, with less than $300 billion in market capitalization and has many other weaknesses that investors must take into full account, we believe in the long run that the early institutional adopters will benefit,” wrote Liew and Hewlett.
Lover of all things crypto, blockchain and AI, professional tech scribe & part of the editorial team at Crypto Disrupt.