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Digital Assets Data CEO – Bitcoin Adoption by Mainstream Financial Institutions is Far Away

Mike Alfred, CEO of analytics firm Digital Assets Data, has highlighted the continuing reluctance of mainstream finance in adopting Bitcoin. Alfred gave his opinion following the filing for Bitcoin (BTC) fund by Fidelity Investments.

Regarding the hesitation, Alfred has stated as follows:

“Many in the traditional financial services/asset management/wealth management verticals remain deeply skeptical of Bitcoin and the ecosystem. One commenter on my LinkedIn yesterday even called Fidelity’s move ‘Abby’s folly,” a statement aimed at Fidelity CEO Abigail Johnson with regards to her steps and status as early Bitcoin investor.

Fidelity, a mainstream financial service provider, along with its associate firm, fidelity Digital Assets, has carved a reputation for itself in the crypto domain, specifically in crypto custody business. On Aug. 26, 2020, Fidelity submitted an application for a Bitcoin based offering namely the Wise Origin Bitcoin Index Fund, under Regulation D exclusion with the US Securities and Exchange Commission (SEC).

Alfred said “From a contrarian standpoint, I think this skepticism and disbelief will serve as fuel for Bitcoin’s adoption and price increases in the future. As these traditional folks capitulate, they will be forced by their clients and partners to get involved at significantly higher prices. I think BTC has a very long runway ahead.”

Earlier this year, Alfred had highlighted growing signs of mainstream interest of financial institutions in Bitcoin. According to him, Fidelity’s Bitcoin fund and the firm’s involvement in cryptocurrency domain supports his point of view.

“I think it speaks to my previous comments about growing interest and awareness in the traditional asset management and wealth management spaces in the US. Serious adoption in those channels would be extremely bullish for BTC. Fidelity is leading the way.”

Further hints of rising mainstream adoption of Bitcoin, witnessed this year, include the entry of big fund managers such as Paul Tudor Jones.

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