Security of cryptocurrency custodial services is still among significant hurdles preventing institutional investors from buying crypto for the first time, new data suggests.
United Kingdom-based crypto fund Nickel Digital Asset Management released a survey of 100 wealth managers and global institutional investors to find out the biggest investor concerns associated with crypto.
The survey features respondents from the United States, France, Germany, the United Arab Emirates and the United Kingdom, who collectively own $275 billion in assets under management.
Conducted online from May to June 2021, the survey found low confidence among institutional investors in crypto security, with 76% of respondents citing concerns about the security of custodial services as one factor stopping them from investing in crypto.
Respondents also identified the regulatory environment as a significant hurdle. Other important concerns included a lack of transparency and volatility, and a perceived lack of reputable fund managers offering crypto investment.
Nickel Digital co-founder and CEO Anatoly Crachilov said that institutional concerns over crypto custody and security come despite the industry seeing “very strong progress on that front.” Crachilov stated that crypto service providers have been increasingly deploying sophisticated cryptographic solutions, such as distributed keys and multi-party computation vaults, while traditional financial institutions have been also moving into such services.
Related: BNY Mellon joins State Street to service new crypto exchange
“We are now seeing Fidelity, BNY Mellon, and State Street entering the market, thus further reinforcing market infrastructure. All of this increases the confidence levels in the sector and lead to ever-growing allocations to this fast developing asset class,” Crachilov said.
The new survey comes shortly after the Australia Securities Exchange issued a warning related to custodial services on centralized cryptocurrency exchanges, cautioning investors against cybersecurity risks in the form of theft by hackers.
Every trader who trades cryptocurrency on the Binance exchange wants to know about the upcoming pumping in the value of coins in order to make huge profits in a short period of time.
This article contains instructions on how to find out when and which coin will participate in the next “Pump”. Every day, the community on Telegram channel Crypto Pump Signals for Binance publishes 1-2 free signals about the upcoming “Pump” and reports on successful “Pumps” which have been successfully completed by the organizers of the VIP community.
These trading signals help earn from 20% to 150% profit in just a few hours after purchasing the coins published on the Telegram channel “Crypto Pump Signals for Binance”. Are you already making a profit using these trading signals? If not, then try it! We wish you good luck in trading cryptocurrency and wish to receive the same profit as VIP users of the Crypto Pump Signals for Binance channel. Examples can be seen on this page!