Posted 3 years ago | by Ben Armstrong
In a telling interview on October 8th, Rayhaneh Sharif-Askary, a senior executive at Grayscale, noted that institutional investors are constantly active in 2019. Interest in cryptocurrency is rising.
Sharif-Askary is the director of sales and business development at the cryptocurrency asset management giant Grayscale, which currently offers trust for nine cryptocurrencies, including Bitcoin, Bitcoin Cash, Ether, and Litecoin.
Sharif-Askary commented that:
“You know, it’s really funny, I get asked this a lot - there’s this rhetoric in the media about when are institutional investors going to get involved, when are they going to start investing, and it’s so funny because it’s ironic. We see institutional investors invest with us all the time and that’s been the case for a long time now.”
Interest in Cryptos is Rising
Business has been consistent throughout this year, with signs that it may be improving. The 2019 second quarter showed more than $85 million from investors, with institutional investors comprising more than 80% of the total. The impressive figure of $85 million was twice that of the 2019 first quarter.
Since Bakkt experienced a disappointing launch of their trading platform in September, the overall industry sentiment regarding institutional interest has been negative, and therefore,
Sharif-Askary’s comments appear to contradict the consensus. Since September, many insiders have assumed that institutions will be deterred from Bitcoin. Various data sources indicate that institutional involvement in cryptocurrency is hitting recent lows.
Investors Seem Comfortable With Altcoins Again
However, Sharif-Askary noted that investment activity disregards price suppression.
In the second quarter, almost 25% of total inflows targeted altcoins, demonstrating an interesting diversification across the different assets. Only more time will tell if the pessimism of the industry or the optimism of investors and executives like Sharif-Askary will prevail.
In the interim, most investors and observers wait to see the figures from the third quarter, which may be a prediction of good things to come. Crypto prices are still below the highs they hit earlier this year, but are also far above the lows that preceded the 2019 rally.