The latest institutional investor to join the Bitcoin Bandwagon is: Wellington Management Co., an investment firm found over 90 years ago...
At a time when skeptics are carefully calculating the exact moment the Cryptocurrency "bubble" will burst, other companies and thought-leaders are taking forward-thinking strides into the Blockchain industry. Wellington Management Co. is the latest "institutional" money to enter the Bitcoin boxing rig. Wellingtone Management Co. is an independent investment firm, founded in Boston 90 years ago.
Blockchain-based "money" going Main-Stream
It's really no secret that blockchain-based digital decentralized currencies are quickly headed for the mainstream markets. After CME and CBOE released futures and derivatives for Bitcoin towards the end of 2017, it was only a matter of "when" other financial giants would begin researching and diving into this lucrative, pioneering type investment.
Wellington Management Co. stated they are looking to include Cryptocurrencies in their portfolios, a big statement coming from an investment firm with at least $1 trillion US dollars under it's management. Wellington Management's own Matthew Lipton and Lee Saba, revealed the developments.
In preparation to allow for cryptocurrencies to enter their portfolio, Wellington has already upgraded it's financial systems to make trading in Bitcoin derivatives a user-friendly, efficient experience. They have also started investing in cryptocurrency-centric businesses and start-ups. A quote from their statement reads:
“Various Wellington teams are already positioning portfolios to take advantage of mining and Blockchain implementations by, for example, investing in select chip-makers and companies making components.”
Their statement did not disclose exactly which companies they've decided to invest in, but if popularity is any factor, it's most likely they have put a good portion of their investment into NVIDIA and AMD due to their close relationship with cryptocurrency mining. By making these large investments, Wellington is signaling further growth for cryptocurrency and it's supporting markets.
With the recent parabolic growth shown by Bitcoin and other Cryptocurrencies, the "mining" of these cryptocurrencies has become a very profitable business venture. This fear of missing out has resulted in an increase in prices (and profit) of GPU's and furthermore the "chips" manufactured by AMD and NVIDIA.
It needn't really be stated, but Wellington is well aware of the volatile nature of the cryptocurrency industry and has implied that it's entry into the Bitcoin and "alt-coin" markets would be carried out in an extremely “cautious” manner and it’s not going to take place immediately. Needless to say; Wellington's analysts are scrutinizing the markets to try and deduce the best way forward for the firm as a whole.
Wellington's cautious demeanor towards their move is indicative of the overall correction the market has been experiencing, but their overall approval and interest is something that bodes well for the future of the Bitcoin and Cryptocurrency industries.