A JPMorgan senior investment strategist has said that institutions are not interested in investing in cryptocurrencies. He argues that the interest in this asset class from institutions is “effectively nonexistent.”
The strategist attributes this lack of interest to the high volatility of cryptocurrencies and the lack of an intrinsic return that can be pointed to.
He also said that most institutions are relieved that they did not invest in cryptocurrencies during the bull market in 2020 and 2021, due to the subsequent price declines in 2022.
JPMorgan has a controversial relationship with the cryptocurrency industry, with some believing that it uses bull markets to promote cryptocurrencies and bear markets to predict negative developments.