Institutional investors are still bullish on crypto despite FTX’s collapse

by
Blockchain
Institutional investors are still bullish on crypto despite FTX’s collapse

According to data provided by the cryptocurrency exchange Bitstamp, institutional registrations on the trading platform rose despite the FTX saga.

An increase in retail customers despite the crisis

The FTX fiasco’s undesirable impacts have damaged the reputation of the crypto industry. Even during the height of the FTX crisis, institutional investors remained interested in the sector, nevertheless. In this period, institutional registrations on Bitstamp’s digital asset trading platform increased by 57% compared to October statistics, which was not likely as of the market situation at the time.

The exchange revealed that within the same period, its total income increased by 45%, with revenue from institutions rising by 34% and revenue from retail traders increasing by 72%. In line with the reports, November made headlines, with the FTX crash being the hot issue in the news.

Bitstamp also noted that, compared to October, the number of active international retail customers rose by 43% in November, with users in the United States increasing by 18% despite the crash. This shows that more cryptocurrency investors were actively trading within the exchange, even if FTX was a significant subject in the industry.

Popular Bitcoin analyst Willy Woo also commented on the same topic in a recent tweet asserting that investors were still bullish on crypto despite the development:

More firms looking to build in the dip

Financial services company Goldman Sachs announced its intention to buy or invest in cryptocurrency firms on December 6. Mathew McDermott, a Goldman Sachs executive, has stated that the company is already conducting due diligence and is spotting chances while values remain low. The CEO added that although cryptocurrency firm FTX rose to prominence in the sector, the fundamental technology in the area is still functional. This only shows how much firms are willing to invest in the industry despite the plunge in market prices.

Follow Us on Google News
Brenda Mary

Brenda Mary is a crypto enthusiast and a graduate of The University of Nairobi in economics. Brenda’s passion brings her back to her elementary school years as a poet. She enjoys discussing blockchain technology and is committed to producing original content. Brenda also covers other rapidly developing markets and economic and cryptocurrency studies.