Large institutional investors continue to ‘stay away’ from digital assets due to high volatility. This was stated by Jared Gross, managing director of JPMorgan Asset Management, in an interview with Bloomberg.
In his view, Bitcoin has not become an alternative to gold or a hedge against inflation, as many had hoped. For most large institutional investors, cryptocurrencies as an asset class simply do not exist, he added.
“[Many large investors] breathed a sigh of relief — they did not enter this market, and are unlikely to do so in the near future,” the top executive said.
As of writing, Bitcoin’s volatility is at a historical low.
In December, JPMorgan analysts found that the share of US adults who have ever transferred funds to a cryptocurrency-related account increased from 3% in 2020 to 13% as of June 2022.
Earlier, State Street analysts concluded that institutional investors have retained their interest in blockchain and cryptocurrencies, despite the bear market.
Read ForkLog’s Bitcoin news on our Telegram — cryptocurrency news, prices and analysis.