- JPMorgan recently stated that billions of dollars would soon flow from institutions to Bitcoin.
- Following the recent Bitcoin investment by MassMutual, the bank predicted that more insurance companies are likely to follow suit.
It’s no longer a doubt that institutions and corporations will adopt Bitcoin (BTC), the largest crypto by market capitalization. In this year alone, many billion-dollar companies have been reported to buying a large amount of the cryptocurrency. Following the increasing rate of BTC adoption, the leading bank in the United States, JPMorgan Chase, opined that about $600 billion would possibly flow into cryptocurrency exchanges from institutional investors.
JPMorgan foresees mainstream institutional adoption
According to JPMorgan, the $600 billion inflow to Bitcoin would come when pension funds and insurance companies in prominent places like Japan, United States, and Europe, allocate just one percent of their assets in the digital currency. The bank’s statement was stirred by the news that Massachusetts Mutual (MassMutual) invested $100 million in Bitcoin. The insurance company has more than $200 billion in its investment portfolio.
More companies in the space are likely to join the train, said JPMorgan. “MassMutual’s Bitcoin purchases represent another milestone in the Bitcoin adoption by institutional investors. One can see the potential demand that could arise over the coming years as other insurance companies and pension funds follow MassMutual’s example.”
The strategists at the bank sometimes noted that the institutional adoption of Bitcoin is only getting started.
Bitcoin corporate investors
Many companies bought a substantial amount of Bitcoin this year, with the lead company being MicroStrategy, which currently has over 40,000 BTC on its reserve. Square Inc. is another prominent company holding about $50 million in Bitcoin. According to the information on Bitcoin Treasury, there are about 15 publicly-traded companies holding Bitcoin in their reserve.
These include Galaxy Digital Holdings, Riot Blockchain, DigitalX, and more. If you want to invest in Bitcoin, take a look at SimpleSwap cryptocurrency exchange platform as an option.