In recent years, Bitcoin has grown and was adopted. Nevertheless, people don’t totally understand it. Main Street and Wall Street are also looking down on Bitcoin. Recently, an analyst broke down some of the biggest Bitcoin “FUD”.
Two executives at Goldman Sachs talked about Bitcoin in a May call titled “Implications of Current Policies for Inflation, Gold, and Bitcoin”. The leaked slides indicated the pessimism of the two.
Furthermore, they stated that Bitcoin does not make cash flow, does not evade inflation, and does not give consistent diversification benefits.
The call is an illustration of the “FUD” — the fear, uncertainty, and doubt — this industry faces. A top analyst enumerated the biggest Bitcoin FUD in a twitter thread and in an article.
Rebutting the Biggest Bitcoin FUD
Yassine Elmandjra, a cyptoasset analyst at ARK Invest released an article called “Debunking Common Bitcoin Myths for the Institutional Investment Community.” The article’s goal is to dissuade “lazy criticism” of the major cryptocurrency often furnished by large investors and institutions.
In the said article, Yassine Elmandjra firmly rebutted at least 5 sentiments that many like to use to “FUD” Bitcoin. The analyst referred her arguments to the data and charts.
Yassine Elmandjra mentioned some of the Bitcoin FUD like:
- Bitcoin is too volatile.
- BTC is a bubble asset.
- Bitcoin just wastes energy.
- BTC focuses on criminal usage.
- Bitcoin will eventually lose its value because of the hard folks and digital copies.
Wall Street is Slowly Acknowledging Bitcoin
The data shows that the efforts of the analysts like Elmandjra’s are definitely a big help for Bitcoin and crypto adoption.
It is evident in Fidelity Investments’ recent survey regarding the institutional adoption of cryptocurrency.
According to a report, the $2 trillion asset manager saw that roughly 25% of big institutions are already exposed to Bitcoin for a long time. On the other hand, 11% of the respondents are exposed to Ethereum.
Moreover, the survey showed that many institutions intend to warm up to crypto. The head of Fidelity’s crypto division, Tom Jessop, commented on the results of the survey. He said that those results confirm a trend people are seeing in the market towards greater interest in and acceptance of digital assets.
Furthermore, a billionaire hedge fund manager, Paul Tudor, is evidence of Wall Street warming up to Bitcoin.
He said in a May report that he thinks Bitcoin is the “fastest horse in the race”.