According to State Street, a major bank, institutional investors are unaffected by the current crypto winter and have kept an interest in blockchain technology and digital assets, as reported by Cointelegraph.
Irfan Ahmad, the Asia Pacific digital lead for the bank’s cryptocurrency arm State Street Digital, stressed that despite the market’s significant volatility in June and July in an interview with the Australian news outlet Sydney Morning Herald (SMH) on September 11.
“During the course of the June, July period where things were really hotting up in terms of activity, we saw institutional clients not necessarily double down, but they weren’t really deterred from placing strategic bets on the asset class itself.”
The Cboe Australia exchange listed three cryptocurrency exchange-traded funds (ETFs) from Cosmos Asset Management and 21Shares in May. Meanwhile, asset manager Monochrome has just received approval to introduce the nation’s first spot crypto ETF with an Australian financial services licence in August, Cointelegraph noted.
The Cosmos Purpose Bitcoin Access ETF’s fund administrator is State Street, and Ahmad told the SMH that additional cryptocurrency product launches are coming to Australia in the “very near future,” though he did not name any specific companies.
“Certainly, our clients, they’ve been speaking to us more pragmatically about how they might be able to launch products, or what our capabilities may be in the future to help them support the launch of those products,” he said.
Meanwhile, stablecoins and traditional asset tokenization have received most of the attention from the Australian Securities Exchange (ASX) and Australian banking behemoths like ANZ and NAB rather than particular cryptocurrency investments.
Due to regulatory ambiguity, The Commonwealth Bank’s short-lived crypto trading service play was permanently suspended in May. The institutional Ether (ETH) staking service was recently introduced by the Swiss digital asset banking platform SEBA Bank on September 7 in order to address the increasing demand for the yield-bearing asset prior to the Merge, Cointelegraph stated.
(With insights from Cointelegraph)
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