Is This the ‘Calm Before the Storm’ of Institutional Crypto Investment?

TL;DR

• We’re still in a bear market – but things feel relatively stable compared to last year. There are no crazy highs, no depressing lows…

• Amidst this calm, major institutional players are quietly tiptoeing into the crypto space.

• Now Deutsche Bank and the fintech firm ‘Taurus,’ are will store and protect an institution’s crypto (the same way they would their cash).

• Moral of the story: The more trusted infrastructure there is → the more $ will be invested into crypto over time.

Full Story

This feels weird…right?

It’s like we’re in limbo.

Sure, we’re still in a bear market – but things feel relatively stable compared to last year. There are no crazy highs, no depressing lows…

Just month after month of Bitcoin slowly wafting between $25k and $30k, with the rest of the space following close behind.

Turns out, amidst this calm, major institutional players are quietly tiptoeing into the crypto space.

You know how we keep harping on about all of these spot Bitcoin ETF filings that will allow BTC to be traded on the stock market and attract billions to the space?

Yeah, well – those funds are so attractive to big institutions because it means they don’t have to store the Bitcoin themselves (the fund does it for them).

Why the aversion to buying and storing Bitcoin directly? Because for companies of this size, there’s no clear ‘how to’ on it all – and that spells ‘RISK.’

Now, Deutsche Bank and the fintech firm ‘Taurus,’ are capitalizing on this problem, by creating an ‘enterprise-grade crypto asset custody product’.

Translation: they’ll store and protect an institution’s crypto (the same way they would their cash).

Ok, ok, “a bank account, but for crypto” doesn’t sound all that exciting on the surface – but it’s an important piece of the “crypto price go up” road map.

Here’s why:

1. Following the fallout from high profile companies like FTX, more and more people are looking for highly regulated players (like Deutsche Bank) to enter this space and act as the ‘adults in the room.’

2. The tokenized economy will continue to develop, adding more and more traditional assets on-chain (e.g. buying/selling real estate via the blockchain – which is actually already a thing).

   Point is: the larger the total investment, the more security these investors will want when storing it – and long standing banks have a certain brand pedigree with that sort of thing.

Moral of the story:

The more trusted infrastructure there is → the more $ will be invested into crypto over time.

We love to see it!