With Canada's advanced crypto trading regulation out, investors and portfolio managers are attracted towards the digital assets market
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Institutional investors and portfolio managers have started considering Bitcoin as a “serious venue” to invest in according to Fred Pye, CEO of 3iQ, Canada’s first Bitcoin fund issuer, who spoke about how investors are attracted towards this asset class post Canada’s advanced crypto trading regulation.
Pye believes that in the midst of global inflation combined with macroeconomic hurdles, fund managers and institutional investors who manage diversified portfolios are looking for alternative asset classes for investing. “The FOMO in Bitcoin is gone; it’s all moved over to AI [artificial intelligence]. So now the institutions and the proper portfolio managers — the people that are responsible for running diversified portfolios — are now starting to take a look at Bitcoin as a serious venue.”
Pye also says that in the next few years, crypto use cases would become a growing trend for institutional investors and would in fact be the theme for 2024.
“It is not just about maximising profits; we’ve got this beautiful technology, now let’s put that beautiful technology to work,” he stated.
This institutional adoption of crypto is bound to face regulatory hurdles still. However, even with the United States Securities and Exchange Commission’s resistance towards the crypto market, Canada has launched crypto exchange-traded funds (ETFs) already, which is a hopeful sign for the crypto markets in the country.