Director of BNY Mellon announced great interest of investors in crypto market
2023.02.09 08:53
Director of BNY Mellon announced great interest of investors in crypto market
By Tiffany Smith
Budrigannews.com – Head of digital assets at Bank of New York Mellon (BNY Mellon), Michael Demissie, insists that institutional interest in digital assets will not be diminished by the cryptocurrency market crash in 2022.
Demissie stated on February 8 that the digital asset industry is “here to stay” due to institutional investors’ strong interest in cryptocurrency at an Afore Consulting conference.
According to a Reuters report from February 8, “What we see is clients are absolutely interested in digital assets, broadly,” he stated.
Demissie supported his assertions by referring to a BNY Mellon survey that was carried out in October and revealed that 91 percent of custodian bank clients are interested in investing in tokenized products based on blockchain technology.
Additionally, the survey found that 86% of institutional investors are using a “buy and hold” strategy, which could indicate that they view the cryptocurrency market as a long-term investment.
In addition, 88% of those surveyed stated that their long-term plans to invest in the digital asset sector have not been affected by the severe decline in the cryptocurrency market in 2022.
Fireblock’s Michael Shaulov tells Aerial View that despite the recent crypto winter, adoption rates of cryptocurrencies and digital assets are still rising. Check out the hashtags “aerialviewbites,” “cutthroughthecorporate,” “sibos,” and “aerialview.”
Demissie did, however, mention the need for additional work in Washington, D.C., so that stakeholders in the industry can proceed with increased regulatory clarity.
“We absolutely require road regulations that are crystal clear. We require accountable actors who are able to provide dependable services that earn the trust of investors.
He continued, “It’s important that we navigate this space responsibly.”
Caroline Butler was named CEO of Digital Assets at BNY Mellon on February 2 in order to assist in driving the subsequent wave of adoption for the bank’s clients. She was the CEO of custody services in the past.
Caroline Butler will lead global efforts to accelerate @BNYMellon’s commercial digital assets initiatives as Digital Assets CEO.
In October, BNY Mellon launched its own digital custody platform, giving select institutional clients the chance to invest in Bitcoin (BTC) and Ether (ETH). The appointment comes at the same time.
In February 2022, BNY Mellon announced a collaboration with Chainalysis, an on-chain metrics platform, to assist in the tracking and evaluation of cryptocurrency products.
In recent times, BNY Mellon is not the only major bank making moves in the digital asset sector.
After several were impacted by FTX’s catastrophic collapse in November, Goldman Sach reportedly expressed interest in purchasing cryptocurrency businesses.
Even though JPMorgan CEO Jamie Dimon doesn’t like Bitcoin, his company has tried blockchain-based services in the past. The company completed its first cross-border transaction using decentralized finance on a public blockchain with success in November.
