Institutional portfolios grew 170% in the first quarter. Independent figures show that more than 132,000 bitcoins were bought by institutional investors in the first quarter of 2021. These are some data that Coinbase shared with Cointelegraph in Spain that stated that “the institutional market has exploded”. this year.
In a statement from Coinbase sent to Cointelegraph en Español of Madrid (Spain), the Coinbase cryptocurrency exchange showed that it had seen unprecedented growth in the institutional market in the first quarter of 2021 .TO
As of December 31, 2020, the platform’s institutional portfolios have grown 170%, from $ 45 billion at the end of the fourth quarter of 2020 to $ 122 billion at the end of the first quarter of 2021, she details.
Coinbase currently serves more than 8,000 institutional clients, including hedge funds, asset managers, corporations, pensions and foundations.
Since its inception in 2018, Coinbase Custody has seen a growing trend among all types of institutional investors looking to capitalize on the value of cryptocurrencies, they noted.
Regarding this surge in the institutional market, Drew Robinson, Head of Hedge Fund Sales at Coinbase stated:
“Over the past 12 months we have seen growing interest from institutional investors looking to take advantage of the cryptocurrency space. This year, however, interest from pension funds and hedge fund coverage has skyrocketed, aided by the use of crypto ETPs, as well as a better understanding of the crypto economy.
Then he added:
“Over time we have observed a number of factors that have drawn institutional investors into this space, from hedging against inflation, diversifying corporate balance sheets, and wanting to be more involved in the digital economy,” including areas such as payments, Payroll and cross-border payments Customer demand also plays an important role.
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