Despite the initial intention behind the creation of Bitcoin (BTC), the cryptocurrency movement has become increasingly reliant on adoption by big-name financial institutions to further drive the bullish thesis.
With the impending launch of institutional products like the Bakkt futures exchange, many retail investors believe the next big wave of adoption could happen at any moment and with it, the next bull rally.
In the interview, Witzke delivered a tempered look at what it will really take for institutions to dive into crypto, emphasizing that current custodial offerings are not quite there yet.
“Because the end of 2017 was so crazy, people tend to think the space moves at lightning speed [..] At the level of underlying [tech] development it [often] does […] but I think it takes a while for institutions to get comfortable,” Witzke said. “There needs to be better custody, healthy debt and credit markets to get [them] really excited. So I don’t think 2019 will necessarily be the year.”
Notably, Witzke indicated that institutional investors have “thoughtfully” dipped their toes into crypto, but no “plunge” has yet occurred, again citing lack of regulatory clarity and custody concerns.
Nonetheless, the Winklevoss twins continue to be some of the more bullish industry leaders and even recently predicted that, over time, the market cap of Bitcoin will surpass the ~$7 trillion market cap of gold.
More: Winklevoss Capital: Investors Are ‘Thoughtfully Dipping their Toes into Crypto,’ Not Taking the Plunge
Disclaimer: This article’s author has cryptocurrency holdings that can be tracked here. This article is for informational purposes only and should not be taken as investment advice. Always conduct your own due diligence before making investments.