JPMorgan: cryptocurrencies between “rat poison” and “future already present”

When Warren Buffett stated earlier this year that bitcoin and cryptocurrencies in general are and remain “rat poison”, a polarization of opinion and investment around this market sector remained evident. From that moment on, a race for the most radical affirmation possible on this topic was generated, both in an apocalyptic and integrated sense. Up to generating a substantial split in two blocks for the moment of the same size. Situation confirmed by the latest survey conducted by JPMorgan. Investors’ views on cryptocurrencies remain extremely polarized: 51% of respondents believe that bitcoin and associates are here to stay or that they may even become an important financial asset class in the not-too-distant future. Meanwhile, 49% of respondents believe cryptocurrencies are “rat poison” (33%) or a fad (16%). All in all, a points win for cryptocurrencies which, however, is not enough to still transmit the decisive push to the market, since most investment companies do not yet transact with cryptocurrencies. Only 10% of the companies surveyed by JPMorgan currently trade or invest in cryptocurrencies, while 89% of the companies surveyed stay away. And of companies not currently investing or trading cryptocurrencies, around 80% said they are not likely to start trading or investing in the industry any time soon. This is probably partly due to the great volatility of this asset class, as it has also become evident in these days when the bitcoin has fluctuated in the space of a few hours on double-digit percentages. But one thing the investors interviewed agreed on was the need for cryptocurrency legislation. According to the survey, 81% of respondents believe cryptocurrencies will face stricter regulations in the future. Meanwhile, 95% said fraud is a prevalent phenomenon in the cryptocurrency world. Finally, according to JPMorgan, 62% of investors surveyed believe cryptocurrencies are in a market bubble: the total market value of all cryptocurrencies up until yesterday was $ 1.3 trillion, according to data from CoinMarketCap. The stricter regulations under discussion and the presence of fraud could be the reason why the SEC has once again postponed the green light for the highly anticipated bitcoin ETF. For the second time. Since March, the SEC has had a proposal to list a bitcoin ETF through asset manager VanEck Associates that would allow the world’s largest cryptocurrency to be traded among major financial institutions. But he first postponed his decision to the end of April, then to June. He said Wednesday that it will take even longer to consult with the public about possible manipulations of the bitcoin market and, by extension, the ETF.