With the popularity of digital currencies on the rise, a number of business entities are searching for ways to enter the spade themselves.
Bitcoin (BTC) continues to stand alone atop the mountain that is a cryptocurrency, for now. Other coins such as ethereum (ETH) have captured the attention of investors after a sharp spike in price.
Even the meme crypto dogecoin (DOGE) has been gaining a lot of traction lately. DOGE recently hit new highs right around the time that Elon Musk began trending due to an upcoming SNL appearance.
Businesses getting involved
Not only are businesses getting involved, but U.S.-based banks are also clamoring to break into the cryptocurrency world. Reports suggest that these banks will soon allow clients to connect with digital currency lenders.
Wall Street has already made the move after news broke this week of the S&P Dow Jones Indexes launching three new indices that are designed to track the performance of cryptocurrencies. In the meantime, major payment processors like Mastercard and Visa have started to accept crypto.
A number of Wall Street firms such as JPMorgan will soon provide investors with bitcoin funds, while Goldman Sachs has launched bitcoin derivatives for investors. Meanwhile, Morgan Stanley will offer high-end clients a trio of bitcoin funds to work with.
Despite this, some wealth management firms are not entirely convinced of the viability of crypto.
Not ready to offer crypto just yet
At a recent Bloomberg Wealth Summit meeting, both Gregory J. Fleming, CEO of Rockefeller Capital Management, and Sarah Levy, Betterment’s CEO, were questioned about the future of digital currency within the industry.
“Our view on the whole crypto and digital currency space is that this is a change that is in the early stages, and you see that in the volatility around the price of the different ways of participating in this,” stated Fleming. “It is probably something that is more secular in nature, though. Digital currencies are going to be part of the future.”
Levy was also cautious, but, optimistic about the future of cryptocurrencies.
“I think we’re in early innings on crypto. I think we’re believers that if we can provide the right kind of context and advice that it’s okay to participate in some of these newer asset classes. And so I’d like us to find a way to responsibly offer crypto but I can’t say that we’re there yet. I think we’re still in kind of watch and learn mode right now.”
While both CEOs are well aware of their client’s desire for investing in digital currencies, they are making the move slowly with a great amount of caution. Neither Levy nor Fleming is ready to offer crypto just yet.
Despite the CEOs reticence to bring their companies into the crypto game, they both appear to be proponents of the industry itself. Fleming has shown a great amount of optimism surrounding digital currencies, even calling them a “game-changer”.