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Upward Trend In Interest From Traditional Traders Towards Crypto, Report Shows

By Chris Torres | April 7, 2020

Senior-level traders reportedly believed that firms are increasingly warming to the initiative of utilizing the crypto surge displayed recently, specifically in Bitcoin (BTC). 

As revealed via a report, dubbed “Adoption of Digital Asset Trading”, published by Acuiti management intelligence network, approximately 100 platforms that offer facilitating features for crypto-related transactions have been introduced to institutional customers. 

The report also revealed a more incline trend in the adoption rate for crypto assets by sell-side service providers, compared to traditional trading firms, with figures standing at 26% and 17% respectively. Nonetheless, the report claimed that CME or Bakkt the only main platforms that help with the adoption rates. 

All crypto trading platforms surveyed have shown an increased interest level towards Bitcoin derivatives, with more than half (57%) of traditional trading have finalized Bitcoin-related transactions, and 29% traded Ethereum (ETH) derivatives.

Another insight being that despite XRP stands at the 8th position in the list of most popular assets, its trade pairing with the USD is higher (5th), regarding crypto pairing favoured by institutional companies. Their 3 biggest concerns being liquidity, volatility, and arbitrage opportunities.

A major problem circulating around surveyed firms, along with ones that are looking to initiate crypto-like assets trading, was the exploitable flaws in the security system, and fears of cyberattack.

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