For years, the Narrative of “digital Gold” and “random Asset” in the Bitcoin Space are circulating. Just in the last few months, more and more institutional investors seem to discover these properties of Bitcoin itself. In many areas one hears that more and more institutions rely on BTC and integrate it to a certain percentage in your Portfolio. This is demonstrated not least by the massive amounts of BTC, buys Grayscale, or the fact that Paul Tudor Jones has invested in Bitcoin. A new survey of the Finance company, Fidelity now shows the entire extent of this development and opened up new perspectives.
A survey with weight
All of the statements in this article relate to one of Fidelity’s Digital Assets survey, which you can read here. Fidelity Digital Assets is a subsidiary company of the company Fidelity Investments, which is 2.46 trillion USD managed by the ETH Zurich in 2011 as the third most influential company in the world has been referred to.
The survey includes a lot of interesting results, but can be according to Fidelity so in summary, that “a growing number of institutional believes investors that digital assets should be values (such as Bitcoin) to be a part of your investment portfolio”.
Specifically, the survey between the age of 18 was. November 2019 and the 6. March 2020 774 institutional investors, of which 393 from the United States and 381 came from Europe. Were asked to “ financial advisors, Family Offices, and pensions, crypto – and traditional Hedge funds, high
high net worth investors, as well as foundations and endowments“.
Every third invested in Bitcoin
Besides the fact that 80% of the investors think that the asset class has “something good” and 60% found that “digital assets could have values such as Bitcoin have a place in your investment portfolio,” is a different outcome even more interesting.
According to the Fidelity survey, 36% of institutional investors are, in fact, already In Bitcoin and co. invested. More specifically, the 27% in the United States and 45% are told (!) in Europe. Thus, a large difference between the continents is shown. In addition, the proportion of already invested in the United States rose from 22% in 2019, on the said 27% this year. Fidelity writes, how could it be otherwise:
Bitcoin is more than a quarter of respondents to the digital asset of choice; 11% have a risk of exposure to Ethereum.
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Bitcoin and the interesting features
As mentioned above, 80% of institutional investors surveyed that digital Assets such as Bitcoin have something Appealing. Here, Fidelity has mainly 3 properties to determine which are most appreciated:
uncorrelated to other asset classes (36%)is an innovative technology game (34%)a high upside potential (33%)
Nevertheless, there are also some points of criticism and Concerns of the investors:
Price volatility (53%)concerns about manipulation of the market (47%)lack of basics, for a reasonable value estimate (45%)
Thus, these Concerns also entitled are so good, it may also be that these will disappear with the increasing Adoption of Bitcoin. So Fidelity says:
The concerns of the investors focus largely on issues that can be solved with the development of the market infrastructure itself.
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The comments in this article do not represent any trading recommendations or investment advice.