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1 - Institutionalisation of Digital Assets

from Part I - Institutionalisation of Digital Assets

Published online by Cambridge University Press:  06 March 2025

By
Reena Aggarwal  and
Chris Matturri
Edited by
Reena Aggarwal  and
Paolo Tasca
Reena Aggarwal
Affiliation:
Georgetown University, Washington DC
Paolo Tasca
Affiliation:
University College London
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Summary

There has been progress made in the adoption of digital assets by institutional investors. Large institutions including Fidelity, BlackRock, and several investment banks have started providing products and services to satisfy the needs of their clients. Hedge funds and venture capital funds are also investing in digital assets. Global exchanges have introduced investable products based on cryptocurrency derivatives. The number of ways one can invest in digital assets is expected to grow with the introduction of new products. Digital assets are still very new and carry considerable risk. It is prudent of regulators to cautiously approach regulation. At the same time, the markets are looking for clarity from financial regulators. If and when there is more regulatory clarity, the pace of adoption is likely to pick up.

Keywords

Digital assetscryptocurrencyinstitutionalisationvaluationinvestmentsregulationmonetary policy
Type
Chapter
Information
Digital Assets
Pricing, Allocation and Regulation
 , pp. 3 - 16
Publisher: Cambridge University Press
Print publication year: 2025

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