Fidelity, a Boston-based investment giant, surveyed institutional investors’ interest in crypto. On the 28th of October, Fidelity revealed the result of their survey regarding interest in crypto. Although Bitcoin is trading at around 70% less than the all-time high of $69,044 last November, institutional investors are still interested.
According to the survey, 58% of institutional investors were invested in digital assets in the first half of 2022, which was 6% high than the previous year. And 74% of institutional investors have plans to buy digital assets in the future. The firm that took the survey said that more than 51% have a positive perception of digital assets, which has increased by 45% from last year.
Tom Jessop, the digital assets president of Fidelity, said that while the markets have faced headwinds in recent months, they believe that digital assets fundamentals remain strong. Moreover, he said that the institutionalization of the market over the past several years had positioned it to weather recent events.
It is notable that the survey ended in June, and in the first half of this year, investors were still plugging lots of cash into crypto investment funds, despite low prices. But after this survey, many things may have changed since then, as Bitcoin and each other’s cryptocurrency prices dropped further in this period. And many investors pulled out hundreds of millions of dollars from Bitcoin funds, and they did this for traditional investors.
In Fidelity’s survey of crypto interest, more than a thousand institutional investors from across the US, Europe, and Asia were included. Institutional investors are financial advisors and high-net-worth individuals known as hedge funds.
Bitcoin and the crypto market dropped in value in 2020 and through the end of 2021 because of the institutional investors who lessened the funds. While MicroStrategy, a software company, put Bitcoin on its balance sheet, other investment firms followed suit, due to which the price increased. This year, the Bitcoin holdings of MicroStrategy are 130,000 BTC, whose worth around $3 billion.