Bank of America has launched a dedicated cryptocurrency research team in a bid to cash on the growing frenzy around the digital asset market. The new crypto research team would be headed by Alkesh Shah and the focus of the research would also include technology tied to the digital asset market.
Candace Browning, head of global research for Bank of America, said in the memo.
Cryptocurrencies and digital assets constitute one of the fastest-growing emerging technology ecosystems. We are uniquely positioned to provide thought leadership due to our strong industry research analysis, market-leading global payments platform, and our blockchain expertise.”
Bank of America joins the growing list of US-based banking giants betting big on the crypto ecosystem. Some of the top US banks including JP Morgan, Goldman Sachs, BNY Mellon, and many others have started offering some form of Bitcoin and crypto investment vehicles for their clients.
Crypto Demand Among Institutional Investors at ATH
The demand for crypto products from institutions has reached an ATH and despite any regulatory framework in place, these banking giants have found a way to offer compliant investment vehicles to institutional clients. The likes of JP Morgan who is not a big Bitcoin fan was forced to offer a Bitcoin fund amid growing client’s demand, Goldman Sachs that had called Bitcoin a speculative asset in the past now lists the digital currency among the best-performing assets.
In absence of a regulated Bitcoin product, Wall Street giants have turned to private crypto funds that buy cryptocurrencies and issue shares against them for investors to trade-in. The demand for a Bitcoin ETF has also seen a massive surge in the recent past where former regulatory heads have also called upon SEC to approve the Bitcoin ETF to ensure investor protection and bring more transparency in the market.
The surging investor demand and rising Wall Street participation in cryptocurrencies have also forced regulatory bodies to look into crypto regulations. Many expect SEC to lay the groundwork for crypto regulations soon.