- Institutional adoption rate grows as Mutual life insurance company buys $100 million Bitcoin
- The firm joins the like of Microstrategy and Square in those who have adopted BTC
Mutual Life Insurance company has increased the list of institutional investors who have bought Bitcoin. The insurance company recently purchased $100 million worth of Bitcoin from its investment account.
The firm invested only $100 million from its $239 billion investment account. While this is quite a small amount from the investment account, the institutional adoption by the firms have shown that there is more trust in the worth of Bitcoin than in previous years.
This is a clear diversion from the erstwhile belief that the volatility of the crypto asset makes it an unstable investment tool. It also negates the previous belief that BTC was also a money-laundering tool.
The insurance company said its adoption of the coin was in line with its policy of trying to take advantage of new opportunities and also diversifying their assets.
The company’s purchase of the crypto asset was facilitated by NYDIG. NYDIG is a fund management firm that is currently managing over $2 billion worth of cryptocurrency. The insurance company also bought a minority stake in the fund manager for $5 million.
The CEO of NYDIG has also said that there have been more institutional adoptions of BTC
Institutional adoptions growing in the world
The CEO of Microstrategy, MICHEAL Saylor, is one of those driving the adoption rate in institutions. According to the CEO, his company would continue to adopt BTC because of its growing adoption rate in the world.
The entrance of other financial institutions like PayPal into the crypto industry would see a massive growth in the adoption of the crypto asset.
PayPal users in the United States are already able to purchase the digital currency via the financial institution.