State Street has mentioned that institutional investors’ interest in digital assets and the blockchain space is still high despite the market plunge. Over the last few months, the crypto market has witnessed a massive plunge, with the price of digital assets fluctuating. This is primarily not thanks to the attitude of traders towards the market in times like these. Although there has been a consensus that the market might make a jump up by this time, reduced interest among traders has not made that possible yet.
Institutional investors are unmoved by the market decline
According to an executive with the vast bank, despite the torrid time that the market saw over the last three months, institutional investors tied to them are still shaking up the market. He mentioned that in June and July when the market was in a terrible state, these investors doubled their portfolio and were unmoved by the losses.
Australia welcomed three ETFs in May, with the country set to approve its first spot ETF before the end of the year. State Street is currently an admin with one of the ETFs, with the executive noting that more crypto-related products are set to make their way into the country in the coming months. However, the executive refused to mention names or give a clue as to what the statement meant.
Firms continue to make a play in the crypto sector
The executive mentioned that there have also been talks among the institutional investors in their company about the launch of these products. The investors are looking for ways that State Street may be able to help them pull off the launch of these products. Meanwhile, some other crypto-related investments have channeled their efforts towards stablecoins instead of digital assets. The commonwealth bank looked to have struck gold when it floated its crypto trading service, only for it to come to an abrupt end due to regulatory issues.
Aside from Australia, investments have made huge strides into the crypto market in the last few months, with Blackrock a prominent example. The company announced some weeks ago that it has teamed up with Coinbase to help investors access digital assets to float its spot Bitcoin trust. Citigroup also bolstered its executive ranks as it is also determined to make a play for the crypto sector in the coming months. Seba bank also announced that it would open its platform to traders who were interested in staking Ethereum as the anticipated Merge draws to a close.