Institutional Infrastructure - page 2.

amishmanish

legendary

Activity: 1904

Merit: 1159

Quote from: Moon Assist on April 04, 2018, 01:13:18 PM

It's also possible that endowments, pensions, etc haven't entered the markets yet and will be doing so later this year. What effect, if any, that has on the markets is unclear.

Endowments, Pension funds etc. select only the most secured investments that are likely to give long term returns. They typically go with the investment ratings from agencies like S&P and Moody's.
Crypto is a volatile investment and they will be the last to do this.

What we all should take heart from is that this is nothing new. Such calm times are when developers can actually focus on the product and when, we as a community, should focus on adoption. I understand that a lot of people who invested near ATH maybe getting scared and tense. The best course of action is to teach yourself about the technology and the opportunities and value your holdings for being bitcoin, not for an investment to cash-out fiat.The gains will come.

Kemarit

legendary

Activity: 3080

Merit: 1353

Quote from: Moon Assist on April 04, 2018, 03:02:43 AM

The mega-rally towards the end of last year was, in part, due to things like CME & CBOE futures and LedgerX options launching. There was a sense that institutional money was about to get in the game and people wanted to front run that money. However, volume stayed relatively flat after those launches and new money didn’t flow in as much as some people expected.

Yes. You are correct in your observation. Everyone thought that CME and CBoE offering bitcoin future contracts was the best thing that happened to us because suddenly we see those institutional investors quickly pouring big money in the market. And a lot of newbies joined the hype trained that really fueled the price to pushed into its new all-time-highs. But, if you look at it in December, you will noticed the price was somewhat in a sideway after they joined, and got me thinking that something is not right. Oh well, we now see that it somehow backfired as we have seen the price plummeted till today.

Quote from: Moon Assist on April 04, 2018, 03:02:43 AM

Now, Coinbase is in the process of launching a custody solution and some other groups will be launching custody offerings later this year as well. This narrative that custody is right around the corner could reignite the news cycle around institutional money entering the space. Will institutionalization actually happen now? If people try to front run that money again, will we see a bull run this coming summer as these custody products get set to roll out?

I don't see Coinbase news making another bull run, well, it could "pump" the price to that extent. But I think most of us learn the lessons during December. So I doubt that investors will suddenly jump again. Everyone will be cautious this time, we can see some money flowing but don't expect as big as the December rally though.

milewilda

legendary

Activity: 3094

Merit: 1127

Quote from: amishmanish on April 04, 2018, 04:13:39 AM

Quote from: Moon Assist on April 04, 2018, 03:02:43 AM

The mega-rally towards the end of last year was, in part, due to things like CME & CBOE futures and LedgerX options launching. There was a sense that institutional money was about to get in the game and people wanted to front run that money. However, volume stayed relatively flat after those launches and new money didn’t flow in as much as some people expected.

The institutional news was amplified by the relative uneventful failing of S2X and neutralization of Chinese FUD. It gave overhhelming confidence to most retail investors who flocked to exchanges by the millions. The problem was that the ICOs boomed unimaginably too. Hyped products like Tron, Ripple etc. exposed the immaturity of overall market to the serious investors, both product-wise as well as ethics-wise.

These seem to be the fundamentals that have stopped the flow of new money/ institutional money.

Very well said thats we we cant still assure if that institutional money would really flow into this crypto world since there are still lot of things or factors that would affect such decision.
As you said about the problem on booming up ICO do really exposed immaturity growth which will really result on making such decision for them to get in since they cant assure if it would be beneficial for them or not.

The question would still remained unanswered because decisions would really vary according to their own view and perspective.

Moon Assist

newbie

Activity: 31

Merit: 0

Quote from: amishmanish on April 04, 2018, 04:13:39 AM

A bull run will come but it'll be hardly due to institutional news now. It has to be established that the availability of secure, borderless cash can be put to good use and that it can open up new markets/ opportunities. This will be established only when we start seeing more products and lesser scams.

You're right that more products and less scams are needed and will likely be the force that carries the markets.

It's also possible that endowments, pensions, etc haven't entered the markets yet and will be doing so later this year. What effect, if any, that has on the markets is unclear.

amishmanish

legendary

Activity: 1904

Merit: 1159

Quote from: Moon Assist on April 04, 2018, 03:02:43 AM

The mega-rally towards the end of last year was, in part, due to things like CME & CBOE futures and LedgerX options launching. There was a sense that institutional money was about to get in the game and people wanted to front run that money. However, volume stayed relatively flat after those launches and new money didn’t flow in as much as some people expected.

The institutional news was amplified by the relative uneventful failing of S2X and neutralization of Chinese FUD. It gave overhhelming confidence to most retail investors who flocked to exchanges by the millions. The problem was that the ICOs boomed unimaginably too. Hyped products like Tron, Ripple etc. exposed the immaturity of overall market to the serious investors, both product-wise as well as ethics-wise.

These seem to be the fundamentals that have stopped the flow of new money/ institutional money.

Quote from: Moon Assist on April 04, 2018, 03:02:43 AM

Now, Coinbase is in the process of launching a custody solution and some other groups will be launching custody offerings later this year as well. This narrative that custody is right around the corner could reignite the news cycle around institutional money entering the space. Will institutionalization actually happen now? If people try to front run that money again, will we see a bull run this coming summer as these custody products get set to roll out?

Coinbase custody is a product that basically tells big money that you are not good enough to handle crypto and you should let us do it for you. I don't see how that can be confidence inducing.
A bull run will come but it'll be hardly due to institutional news now. It has to be established that the availability of secure, borderless cash can be put to good use and that it can open up new markets/ opportunities. This will be established only when we start seeing more products and lesser scams.

Moon Assist

newbie

Activity: 31

Merit: 0

The mega-rally towards the end of last year was, in part, due to things like CME & CBOE futures and LedgerX options launching. There was a sense that institutional money was about to get in the game and people wanted to front run that money. However, volume stayed relatively flat after those launches and new money didn’t flow in as much as some people expected.

Now, Coinbase is in the process of launching a custody solution and some other groups will be launching custody offerings later this year as well. This narrative that custody is right around the corner could reignite the news cycle around institutional money entering the space. Will institutionalization actually happen now? If people try to front run that money again, will we see a bull run this coming summer as these custody products get set to roll out?

Topic: Institutional Infrastructure - page 2. (Read 334 times)