Are you a true Bitcoin believer? Well no, and that’s all right. Like a modern St Thomas, we can have reasonable doubts about the future of Bitcoin. This was the actual attitude of large fund managers 3 years ago, and they have been somewhat vindicated by the Bitcoin meltdown of 2017. What are they thinking now?
In all seriousness, some are reconsidering their positions as Bitcoin rises back from its ashes. The main motivation for this renewed interest is the breakneck pace at which the crypto space evolved from scammy ICOs (Initial Crypto Offering) to a very educated world of software-developer turned finance-wizards that are rebuilding financial rails on blockchain. Just look at a few, FTX/Securitize/Aave, to be convinced that something real is happening here.
To mention but one, Notcoin allows crypto owners to rebalance their crypto portfolio with fund securities. It is bought and redeemed on-chain, with no compromise on risk management, yet an access to a great deal of investment opportunities.
Traditional investors and their sisters are now falling over each other to dust-off a vague interest they expressed over crypto in the early days. Some will stick to Bitcoin, as it represents 2/3 of a $600bn crypto market. Indeed, Bitcoin could become crypto-gold, for its programmed scarcity, and arguable immutable safety, but that’s confusing the wagon for the rail.
The real disruption is to re-invent and improve on-chain traditional finance processes, such as better traceability of KYC (Know Your Customer), AML (Anti Money Laundering) and suitability, increased speed and lower costs to process transactions, or dis-intermediated fungibility of your assets in a single format and through a single platform.
Of course, the entry point is Bitcoin and why and how I should add it to my traditional portfolio. Soon it will shift to how can I trade my ideal investment portfolios on-chain while having access to all sorts of possibilities to leverage them.
Like St Thomas, you had to witness the resurrection of Bitcoin to prove yourself that there was something else out there that would change your life forever.
360 Advisory – Markets