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Institutional investors don’t consider crypto as an asset class: JPMorgan

One of the renowned investment banks, JPMorgan, has stated that institutional investors do not view cryptocurrency as an asset class. This is due to the fact that cryptocurrency is now too unpredictable and investing in it is a challenging decision due to the lack of current returns. Things have gotten worse as a result of the current market volatility brought on by the FTX crash.

JPMorgan on institutional crypto investments

The head of JPMorgan’s institutional portfolio strategy, Jared Ross, recently discussed institutional investing and cryptocurrencies on Bloomberg. Although we have referred to Bitcoin as digital gold, he said, it has not yet established itself. In 2022, the market has been lacklustre. The majority of investors don’t see the value in considering cryptocurrencies as an asset class given the current volatility and lack of return.

Many investors, according to Ross, are happy that they haven’t yet joined the cryptocurrency bandwagon and aren’t planning to do so any time soon. These investors would currently be facing significant losses if they had. It is impossible to predict when the cryptocurrency markets will rebound. Will it be the subsequent halving? Will this trend continue, or will it finally budge? I’ll see!

Crypto is in trouble

A lot of things have altered as a result of what transpired in the crypto market in 2022. The first thing that happened was the demise of the stablecoins UST and Luna currency, which also caused several lending services to fail. Many consumers suffered significant financial losses, further eroding confidence in the markets for cryptocurrencies. Furthermore, Sam Bankman Fried is now accused of orchestrating the greatest scam in US history. He controlled FTX, the second-largest cryptocurrency exchange, which resulted in $8 billion to $10 billion in consumer losses.

Alameda Research, the company associated with FTX, was discovered to have defrauded customers of their money by irresponsible margin trading, money lending, and stupid investment decisions. Along with several real estate ventures throughout numerous nations, Sam Bankman Fried and the company’s senior executives.

What do you make of JPMorgan’s assertion that institutional investors don’t view cryptocurrency as an asset class? And do you anticipate a further adjustment during the bull run? Let us know. And do tell your relatives and friends about our material if you find it to be educational.

What does J.P. Morgan do?

Our organisation is a top provider of international financial services, with $2.6 trillion in assets and activities throughout the globe. Over 200 years of rich history are behind us. We are a market leader in investment banking, commercial banking, financial transaction processing, small company financial services, and asset management.

Is J.P. Morgan a BPO company?

JPMorgan Chase, one of the largest BPO firms in the nation, employs approximately 15,000 people in the Philippines.

Is J.P. Morgan and JPMorgan Chase the same?

The parent company is known as JPMorgan Chase & Co., and the business operates under the Chase and JPMorgan brands to provide services to its clients and consumers.

What banks are owned by J.P. Morgan?

Our company has roots in New York City dating back to 1799, and among the many well-known heritage companies we have inherited are J.P. Morgan & Co., The Chase Manhattan Bank, Bank One, Manufacturers Hanover Trust Co., Chemical Bank, The First National Bank of Chicago, The National Bank of Detroit, The Bear Stearns Companies Inc., and Robert Fleming Holdings.

Also Read: Crypto​.com Disclosed its robust proof of reserves statement

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