Financiers would never invest in bitcoin?

[FanEagle]

Bitcoin and cryptocurrencies have again become a fashionable topic on the news agenda, but still it will not be able to continue indefinitely and then there will be a decline in interest again. Elon Musk is very fond of flirting with fire, not only in the case of flamethrowers, and I'm afraid that he again has problems with regulators, similar to those that concerned Tesla shares. As for the new instruments, I did not mean absolutely new ones, unique to bitcoin, but quantitatively more instruments, similar to ETFs, futures, etc.

I do believe that bitcoin becomes a great topic to discuss every few years but I also believe that people who got in during these bull runs are a great thing for us since not all of them leaves neither, some of them stays, which means we continue our path with more and more people and that is why the next bull run takes us to even higher places. Forever 100 people that come here, at least 5 or 10 stays even after a huge bear crash that takes us 80%+ lower in price, they do not leave because they have seen what bitcoin can do and they are acting according to that.

This is why I think it is quite important that we just focus on what we could handle, look at 2019 and you will see that there were more transactions per day in spring 2019 than 2017 peak times, even though price didn't move beyond, which shows that we need to figure out a way to make the transactions cheaper again, this is not enough, if we want future success we need to first handle that.

[passwordnow]

The government officials are not that more concern with bitcoin transactions, it's irreversible and it's hard to track but, what they are concerned about is the tweets that's generating a huge noise in the internet world made by Elon. It's very manipulative and I don't know if there are other financial institutions that have already called the attention of the body of government that's assigned for it. What are those "new instruments" that you have? can you cite example?

Bitcoin and cryptocurrencies have again become a fashionable topic on the news agenda, but still it will not be able to continue indefinitely and then there will be a decline in interest again. Elon Musk is very fond of flirting with fire, not only in the case of flamethrowers, and I'm afraid that he again has problems with regulators, similar to those that concerned Tesla shares. As for the new instruments, I did not mean absolutely new ones, unique to bitcoin, but quantitatively more instruments, similar to ETFs, futures, etc.

As long as there are influencers that have been showing their interest on it to the public, the interest will remain as it is. Thanks, I know understand what does it really means.

I do believe that bitcoin becomes a great topic to discuss every few years but I also believe that people who got in during these bull runs are a great thing for us since not all of them leaves neither, some of them stays, which means we continue our path with more and more people and that is why the next bull run takes us to even higher places.

Most likely, we stay. But for those short term folks, they tend to sell most that they've got and happily taking their profits before it will be taken by the market again.

[SmokerFace]

Bitcoin's provide high benefits and why would financial not invest their money on it ?. I personally imagine that they're less educated in term of putting resources into bitcoin or a considerable lot of them are not very much aware of the bitcoins or existing of digital currencies. If they came to realize how bitcoin's help to twofold our speculation they'll surly step-in and contribute their huge bit of cash. It's better to persuade with those individuals who don't know about bitcoins

[SmokerFace]

Trading in bitcoins is complicated and you have to spend a lot of time and mind with 100% consecrate. I personally think that financiers are not sufficiently free to glance in bitcoins and put away their cash on it. Bitcoins help just for the individuals who need to twofold their cash Why would they put their asset when they're already making benefit ?. Same with the Millionaire they'll never attempt to twofold their cash.

[Webetcoins]

Considering the high risk associated with investing in crypto, I believe that'll what will stop financiers to invest into crypto because they offer much less returns on investments of their customers (by customers, I mean the ones who made accounts or created FDs there) and I believe that whenever, even one bank takes interest and manages to invest in crypto, I don't see crypto's marketcap under $10 trillion because banking sector is on big sector which is untouched here yet and if it gets involved in crypto ever, I don't think that crypto will need any more recognition.

It all depends on the nature of the investors and we also need to keep in mind that there was never before an asset like Bitcoins and to understand and invest in an asset which is first of its kind in the market, it takes time and efforts. Now with years passing by more and more investors are gaining faith in Bitcoin and as a result market is expanding.

Adoption of Bitcoins is still the most important factor when evaluating the value of it and more than big investors we need more small scale investors because it brings stability into the market, while big investors but lesser in number cause the market to swing when they decide to sell and buy.

[paxmao]

At the end of the day, the large investment firms actually manage others money, and if there is enough interest from their clients into having some bitcoin or other crypto in their portfolios, they will eventually have to give in or see part of their assets under management leave to those alternative managers that accept the new economy.

[Smartprofit]

Recently read a post/opinion of one analyst, which seams pretty interesting. Curious about what the Community here thinks about that.

BELOW IS THE TRANSLATED POST

Why financiers would never invest in bitcoin or in any other asset at all, including much less risky assets.

For that you have to understand that financiers are in the business of financing and investors are in the business of investing.

- The bank's instrument is a spread between how much money they acquired and for how much and for how long they sold that money to others.
- The tool of the investor is a profitable asset.

...................................

Everyone is screaming that institutional players came into the Bitcoin now. Who came are the few players who could push a new asset to the investors, even though to the low quality ones, while they themselves will be sitting on commissions and transactional revenues. You must agree there's a big difference between the two businesses. Institutional investors are not gods pooping butterflies and rainbow-coloured unicorns. Many of them sit on unprofitable assets for many many years. Just look at the return statistics of most hedge funds. Especially it's interesting to look not at annualised returns, but at specific years (YoY). They also got enough idiots there too, who are driven by the banal greed in addition to diversification. Here you can pump a flat price out of nowhere, and get the absolute income higher. And you don't have to invest anything in the asset itself, - it's too risky! And the risk, as we remember, is what financiers pass on to others. That's their business. If it looks like a duck, walks and quacks like a duck, it probably is a duck.

END OF THE POST

Yes this is correct.  

I really like the movie "The Wolf of Wall Street" (starring Leonardo DiCaprio).  At the beginning of the film, Leonardo's character talks to an experienced broker.  The broker tells him, "Our clients ride financial carousels and we bring home commission (clean money)!"  

Investing is a zero-sum game.  The work of financiers is business.  

Financiers are intermediaries.  Financiers' income is an intermediary (agency) fee.  Many people confuse investors and financiers.

This is a big mistake.

[blue_nexus15]

Why financiers would never invest in bitcoin or in any other asset at all, including much less risky assets.

For that you have to understand that financiers are in the business of financing and investors are in the business of investing.

- The bank's instrument is a spread between how much money they acquired and for how much and for how long they sold that money to others.
- The tool of the investor is a profitable asset.

For me this doesn't make sense.  Bitcoin has all sorts of uses for a multitude of different purposes.  We are talking a lot about the speculative aspect, so is bitcoin the tool?  Sure.  There's no difference or it's just the flip side of the truth.  A good profitable tool, since they can't get over their own shadow, they're not confident enough )

[Dragonfund]

At the end of the day, the large investment firms actually manage others money, and if there is enough interest from their clients into having some bitcoin or other crypto in their portfolios, they will eventually have to give in or see part of their assets under management leave to those alternative managers that accept the new economy.

You see, most of this financial institutions like the insurance company will deny that the Insurers money are sometimes giving out at informed of lending with sole aim of making some interest but I bet there will always be an allocated amount invested in cryptocurrency, especially now that there is high Fomo in the space, they would certainly don't want to miss out.
The above insurance is just an example, there are more of the finance that are heavily into cryptocurrency but for the fear of been sanctions or fine, they will never disclose but will continue to invest in underground. 

[RealMalatesta]

Trading in bitcoins is complicated and you have to spend a lot of time and mind with 100% consecrate. I personally think that financiers are not sufficiently free to glance in bitcoins and put away their cash on it. Bitcoins help just for the individuals who need to twofold their cash Why would they put their asset when they're already making benefit ?. Same with the Millionaire they'll never attempt to twofold their cash.

They do put their money in bitcoin, sure it takes a lot of concentration but the reality is that these people are doing it as a job, so it would be simple for them to focus on crypto all day everyday for their work, plus they are not really worried about daily changes neither, they put in billions of dollars in it and just let it be, sure it could drop 20% over night but they are rich enough to wait for it to go back up and they know that if they can wait, they could see the profits later on, compared to regular people who would be scared to lose all their savings and they end up selling when it goes down and lose money.

It is just a game of who can wait longer and people who can "spare" billions of dollars will be capable of waiting longer than people who put in a few thousand dollars of their savings, so I think it is simpler for financiers to invest into bitcoin.