Mass adoption is the Holy Grail of cryptocurrency. Now Brian Armstrong, CEO of Coinbase claims that it is fast becoming a fact.
He posted this in Twitter on 16th August: “Whether institutions were going to adopt crypto or not was an open question about 12 months ago. I think it’s safe to say we now know the answer. We’re seeing $200–400M a week in new crypto deposits come in from institutional customers.”
He also claimed that 2019 had become the “year of reckoning” for institutional investment in crypto, and that the figures he quoted indicate that the trend is growing.
Armstrong made the comments hours after Coinbase confirmed its acquisition of the international operations of storage giant Xapo. This puts Coinbase at the top of the institutional manager list for crypto with $7 billion of assets under custody.
Coinbase’s CEO is also still bullish about bitcoin, despite the recent downturn in its price. He believes that this will not stop multiple new institutional investment products from hitting the market in the near future. These products may include bitcoin futures offerings, most likely launched by Bakkt and Binance.
Coinbase itself has hinted that it may deliver more products imminently. Armstrong said, “In addition to custody, we’re excited to explore new ways to monetize and leverage crypto assets such as staking, borrowing against crypto portfolios and lending crypto to trusted counterparties.”