Chief Investment Officer at Second Foundation Partners, Ben Hunt, believes Bitcoin going mainstream dulls its original use case and brings unacceptable compromises.
The leading cryptocurrency was founded on the principles of being permissionless and censorship-resistant. In short, a way to stick it to the establishment. But with Wall Street increasingly co-opting Bitcoin for its own ends, Hunt sees a coming Bitcoin identity crisis ahead.
The Institutions Are Coming in a Big Way
Recent times have seen institutions getting into Bitcoin in a big way. A popular method for institutions to invest in the leading cryptocurrency is via Grayscale asset managers.
Grayscale deals only with accredited investors. This means they serve individuals earning more than $200k a year and a net worth of over $1 million. Or in the case of organizations, entities with more than $5 million in liquid assets, or all beneficial owners meeting the criteria for individuals above.
Grayscale’s Q4 2020 Report showed that last year’s total