INTERVIEW 🎙️ Gregg Wysocki, Coinbase: How will the Next Bull Market in Crypto be Different?
Channel: Beryl Elites
Date: 2023-12-26

T🔔 Hit SUBSCRIBE button and be the first to get new videos 🎬 Stay tuned on upcoming 120 unique new educational videos covering various aspects of financial markets and artificial intelligence. Join us on this journey of knowledge and innovation at the BERYL ELITES conference!

🗓️ Save the date for the BERYL ELITES 6th Annual Alternative Investments conference, happening in NYC on Oct 28-29. Immerse yourself in 18 dynamic panels featuring 85 esteemed speakers from top financial, investment, and technology companies.

INTERVIEW 🎙️ featuring:
Gregg Wysocki, Senior Manager, US Hedge Fund Sales, Coinbase
Matei Bivolaru, The Beryl Consulting Group

Why should institutional investors care about crypto over the long term and the near-term?

❖ I think it's exciting time to be looking at the space again for institutional investors. Number one, it's still very early in terms of broader adoption. Although we've been around for 10 years in terms of the underlying technology, the use cases are just starting to grow and expand. From an investor standpoint you still have the opportunity to participate in the growth of this network and potentially impact your longer-term portfolio. What that means for investors is that you still have the opportunity to participate in this technology before it's more broadly adopted, although we've seen a ton of adoption globally from an investor standpoint. What that means on your portfolio, we've seen the long-term impact that just even a small allocation to say Bitcoin or Ethereum can have. I don't know of any other asset class out there that has a potential for the same type of convexity that crypto has over the longer term.

How will the next bull market be different from the last one?

❖ I think number one, the monetary policy regime is going to be very different. We're entering the spring halving cycle for Bitcoin. It's a much different macro policy environment. So, for one I'm very interested to see how markets and investors respond to that. Number two, I think we've seen the evolution of the use cases just continue to grow. So, folks that are investing today are much more informed than say, even three or four years ago. So, I think there's a much broader group of investors that are involved in this next run. Lastly, regulation. All of us at Coinbase are looking forward to some broader regulation and having rules of the road defined. I think that has the potential to be a major unlock for institutional investors and that's very different than what we saw in the last bull run.

What kind of investors are you engaging in the space? 

❖ From an institutional perspective, we have family offices are very active, lot of macro funds that view Bitcoin as another proxy for real rates, almost to take the place of gold in many cases. We see quants as a very interesting and relevant use case. The interesting thing about quants is they don't necessarily need a fundamental price target or fundamental value to participate in the space. Having the access to a Futures Contract spot and the ability to go long and short make them an ideal segment of the market to participate in crypto. And then you continue to see a number of just very sophisticated derivatives volatility investors as well as macro investors who again view this as a very liquid market, an opportunity to directional bets in the face of rising or falling real rates. 

More participants are coming in all the time, especially now. So what are you most excited about for what this future and this topic holds?

❖ I would say again, regulatory clarity is probably something along with a lot of my colleagues very excited about. But also, the potential to have ETFs in the U.S. I think their involvement in the space is going to deepen the participation in institutional trading which is critical to have a well-functioning market structure. So, I think between those two factors alone, if we were to get those next year and beyond, we're setting the stage for a very healthy market structure and just evolution of this asset class to make it much more institutional.

What are the biggest risks we see here?

❖ In my opinion, the biggest risk is getting the regulatory side wrong. If it stifles innovation, I think you know similar to the internet in the late 90s and you start to see overregulation   I think especially for the U.S, there's a bit of a risk that the U.S. falls behind relative to the rest of the world. So, I worry about that. Other than that, it's a pretty bullish outlook from both medium and longer-term perspective, if you have a somewhat constructive view on the way regulatory picture plays.  


Visit us at The Beryl Consulting Group LinkedIn page 
https://www.linkedin.com/company/11203570/admin/feed/posts/

Copyright 2024 The Beryl Consulting Group. All Rights Reserved.