Recent positive news and an inflow of institutional investors make the blockchain market promising. The main trends of digital assets are now related to the blockchain, and large companies are already implementing new tools for the digital economy.
After a drawdown in late spring and early summer, the crypto market begins to recover. At the same time, the attention of institutional investors in the digital asset market is also growing. In the first half of the year alone, venture capital funds invested $17 billion in various startups and companies related to cryptocurrencies.
The conclusions of market experts
show that more and more players from the traditional financial space will be involved in this growing market. Last year, IDC analysts
predicted that crypto investments continue to grow until 2024 with a five-year compound annual growth rate of 48%. However, the current pace exceeds their expectations.
The lag of the digital assets legislative framework still limits the inflow of institutional investors to the blockchain sector
. One of the oldest US banks, State Street, began offering crypto services
. The bank plans to start a partnership with blockchain software provider Lukka Inc.
Similarly, some Bank of America customers
gained access to bitcoin futures trading. At the same time, financial holding BNY Mellon has joined the merger of six banks that plan to launch a platform for digital trading.
has partnered with ICF BANK AG to provide its clients with access to 18 cryptocurrencies and digital financial tools.
The number of funds in Decentralized Finance projects is growing steadily. On September 2, 2021, this number reached a peak of $ 96 billion, according to DeFi Pulse
Thus, interest in DeFi is also growing among institutional investors. Barry Silbert's Grayscale company
has launched a new ETF focused on decentralized finance projects. The assets are selected according to the index from Coindesk. The company allows its investors to support DeFi projects without buying tokens.
Even the most prominent banks start to create digital infrastructure. Goldman Sachs
sent an application to the SEC to create a DeFi-ETF. The fund includes companies listed in the Solactive index.
The attention to the digital asset market grows
Blockchain investments will continue to raise
Digital tools and blockchain changed the finance market
In the second half of 2021, a demand volume returned to non-fungible tokens (NFTs). The trading volume on the NFT marketplace OpenSea exceeded $ 1.3 billion
, increased by 560% in two months.
Significant players also appear in the NFT space
. For instance, Alibaba Group
developed the platform for NFT copyright trading. The government of Sichuan Province supported the implementation of the project. With the China Copyright Chain, writers, musicians, developers, and others can sell their work in the form of NFT.
Innovative technologies that significantly change the usual actions in various fields capture businesses and customers with increasing speed. Under the pressure of the pace of innovation development, companies are forced to change existing business models, develop new approaches to their processes, financing, products, and services. Digital platforms
and the blockchain have changed the finance market, while companies, banks, and institutional investors are shaping the global digital economy.
MediaArticlesThe Blockchain market gains the new wave of investors' interest