Two of the largest banks in the USA, JP Morgan and Bank of America (BoA) provide Bitcoin and other crypto features as an investment product.
Here we will discuss some interesting facts about this phenomenon.
1. JP Morgan and BoA: Bitcoin for Investment
The products presented by the two mega banks are about investment. JP Morgan presents its clients with Bitcoin and altcoin investment products in the form of commodities managed by investment managers.
There are 5 grayscale or investment management that have collaborated with JP Morgan. So, JP Morgan customers can get crypto asset investment features managed by JP Morgan and grayscale. Maybe, this is like a mutual fund investment managed by an investment manager.
Meanwhile, BoA has obtained permission to provide futures exchange or futures trading features. This investment is a derivative scheme with smart contracts where Bitcoin and altcoins are commodities.
Although, banks rarely provide derivatives, but this can also be used by its clients.
So, now in the USA, people can enjoy many options for investing in crypto assets. Besides being able to go directly to the marketplace, it can also be done at a bank with a variety of products.
2. Even though the price is dropping, Bitcoin and Altcoin are still in high demand
Bitcoin and altcoins still seem to be in demand, even though they are in a downturn. Today, Bitcoin and many altcoins are selling for only half the price of their All-Time High (ATH).
Bitcoin for example, the highest price touched Rp. 950 million and is now around Rp. 450 million-Rp. 530 million. Likewise other crypto assets like Ethereum and DOGE. This decline has occurred since May 2021.
However, falling prices does not mean crypto assets are abandoned by enthusiasts. In fact, JP Morgan and BoA provide Bitcoin features due to high demand in the USA.
As stated by the respective leaders of JP Morgan and Bank of America, they provide Bitcoin and altcoin features as an investment due to the high demand from their customers or clients.
This is as Indodax CEO Oscar Darmawan told the media. High demand is natural because people in the USA already understand that crypto assets are assets that can be a good hedge.
3. Make the Anti-Crypto Bank Change Course
Interestingly, JP Morgan and Bank of America were originally anti-crypto banks. They did not trust crypto assets at first.
However, over time and the proof of Bitcoin and altcoins during the pandemic, JP Morgan actually retracted his words. Likewise with Bank of America.
According to Indodax CEO Oscar Darmawan, these banks have a more dynamic and flexible pattern towards their customers. Moreover, the presence of crypto assets cannot be dammed.
4. Will be imitated by other banks
Oscar Darmawan also believes that many other banks will provide crypto assets as investments. In the near future, the US bank Goldman Sachs will also do the same.
In fact, it is possible that this will also be imitated by banks outside the USA. According to Oscar Darmawan, it is likely that many banks have conducted evaluations and research to present crypto assets.
5. A New History
This phenomenon is a new history. Banks have made crypto assets an investment product. Bitcoin has entered the order of the world’s monetary system.
In fact, since El Salvador made Bitcoin the official currency, this has also become a new history.
Interestingly, in the future there will be many more people who will use crypto assets based on this blockchain technology. This is also made easier with upgrades that make the network more efficient and less expensive.
Like Bitcoin Taproot which will make it easier for developers to develop Bitcoin. Likewise, Ethereum has many users on its network. In the near future will also upgrade the London Hard Fork.
Conclusion: Most likely the price is still attractive in the long term
Why do people still trust Bitcoin and altcoins, when the price has already dropped by half from its high? This is because people believe Bitcoin and altcoins are still going up in the future.
It’s not just a matter of price and hedging value, but also a matter of blockchain technology which is getting closer to everyday life. This is what keeps demand high when prices fall.
So, in the long run, the higher the demand, the higher the price.
Then, did you just keep quiet? For those of you who want to invest in crypto assets, you can register at Indodax by click this link.