- Fidelity will concentrate on the cryptocurrencies by market cap.
- Pompliano also shared his thoughts on the recent Binance hack.
Co-founder of Morgan Creek Digital and well-know crypto celebrity Anthony Pompliano said that Fidelity will facilitate the trade of leading crypto assets such as Bitcoin, Ethereum, and XRP to their customers. Financial powerhouse Fidelity is only offering Bitcoin trading to selected clients presently.
Fidelity had stated that the company would continue to roll out their services over the coming weeks. Pompliano said in an interview that Fidelity will concentrate on the cryptocurrencies by market cap:
“When it comes to trading, you have to remember that most of these institutional investors are not financial organizations, but we’re talking about pensions, endowments, foundations, sovereign wealth funds.
They don’t think about the bottom 99% of these crypto assets. They’re thinking about Bitcoin and maybe you get into like a Bitcoin or XRP, right? The ones that are top of mind for them are these large market cap assets. And so, I think with Bitcoin that’s a natural place for them to start. They may add two or three others but I wouldn’t expect them to go outside the top five assets in terms of trading.”
Pompliano also discussed the recent attack on Binance’s fund, stating that the Bitcoin network itself was not hacked:
“There’s a couple things to really clarify here. So, Bitcoin wasn’t hacked, the blockchain wasn’t hacked. Binance, a private company, was hacked. It was out of a hot wallet, the cold storage was not touched. About 2% of all funds under management it looks like were actually taken.
That is a less secure way to store funds and I think that this is a great reminder to people in the community that – not your keys, not your Bitcoin. We’ve got to understand that in the fiat world, there’s 3,000-plus bank robberies that happened in 2018. So there’s over eight bank robberies every single day just in the United States. There’s going to be bad actors who do bad things in these industries and all we have to keep in mind is this stuff happens, but it will pass and we’ll get through this as an industry.”
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