Ken Griffin, the Citadel’s founder, has reversed his anti-crypto attitude and plans to provide digital assets to clients this year.
What is Citadel?
Citadel, an American global hedge fund and financial services corporation, plans to enter cryptocurrency markets this year.
Citadel founder Ken Griffin stated on Bloomberg Wealth with David Rubenstein that markets are at a “very volatile turning moment” in light of recent international crises.
After previously advising the younger generation to stay away from cryptocurrencies and declaring that “there is no demand for cryptocurrencies,” Griffin indicated that his company would participate in the crypto-asset markets this year.
“Bitcoin right now has many of the components of the tulip bulb mania we witnessed hundreds of years ago in Holland,” Griffin stated in November 2017. “These bubbles usually end in tears,” he noted at the time, when BTC was trading about $10,000. And I’m concerned about the future of this bubble.”
Griffin admitted that he was mistaken to be in the “naysayer camp” when it came to digital assets. To be honest, I was in the naysayer camp for the entire time that bitcoin has been one of the great tales in finance over the previous 15 years,” he stated. I was wrong in my estimation. Since the crypto market today has a market valuation of about $2 trillion in round numbers.
Caves in Atlast
He is still skeptical. However, he acknowledges the fact that now Crypto plays a big role for investors especially when they are looking to boost their portfolios.
Citadel researches worldwide markets and employs a variety of tactics to provide its capital partners with market-leading investment returns. Griffin hopes that in the following months, the firm will incorporate crypto assets into these methods.
In January, Citadel Securities announced its first external investment, totaling $1 billion. Sequoia Capital and Paradigm, two well-known crypto venture capital firms, invested $1.15 billion in Citadel Securities in January.15 billion. Following the investments, Citadel values at $22 billion and had $38 billion in funds under management.
Griffin remained suspicious of cryptocurrencies as recently as November. He noted that “part of this passion is misdirected when it comes to cryptocurrencies.” However, the wealthy investor went on to praise Ethereum’s features, Furthermore, he predicts that Ethereum-based assets will eventually replace Bitcoin. Which has a higher environmental impact.
“The views and opinions on this Crypto News Website are solely those of the authors and contributors. These views and opinions do not necessarily represent those of iBaseTrading or its partners.”