How do top asset management companies managing over $1.5 trillion bet on Bitcoin?
How do top asset managers, with more than $1.5 trillion in assets, invest in Bitcoin?Franklin Templeton, one of the world’s largest asset management companies with over $1.5 trillion in assets under management, plans to heavily invest in BTC and its underlying technology, according to Sandy Kaul, Senior Vice President of Crypto at Franklin Templeton, in an interview with “Wolf Of All Streets” on Sunday.
Discussing how Franklin Templeton plans to enter the digital asset space, Kaul explained that the company is interested in the technology behind BTC and has decided to experiment on the blockchain to improve the efficiency and reduce the cost of its business.
As a result, the asset management firm has begun researching various cryptocurrencies, creating multi-currency investment portfolios, and even investing in various crypto companies through a dedicated venture capital fund created in 2021. Additionally, she revealed that Franklin Templeton maintains its node operation to gain a comprehensive understanding of the BTC network and its growth.
Kaul emphasized that Franklin Templeton’s interest in crypto is not limited to BTC, and blockchain will bring huge opportunities to the company. She is confident about exploring emerging opportunities for investors.
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“I think one problem we face right now is that people are overly focused on BTC and tend to overlook the broader ecosystem…BTC is a huge innovation and we believe it will have tremendous opportunities in the future,” Kaul said.
Kaul also predicted that the momentum of institutional investors entering the crypto will continue, especially in BTC. She believes that the crypto market shows cyclical characteristics, with a bull market appearing every few years since 2011.
According to her, institutions prefer to enter the market when prices are low, and the areas involved are often overlooked. Therefore, the current “Crypto Winter” is a period for institutions to strategically position themselves in the market, similar to gradually adopting alternative assets, which will take about 10 to 15 years.
In addition, Kaul emphasized that institutional participation is essential to create a solid foundation for the market, and this will play a key role in pushing crypto to new heights after a significant price drop.
“I know they are not worried about the price, they drool over low prices…If you see BTC rise to $69,000 and then fall to $15,000, you know that a situation like the rise to $69,000 will happen again,” she added.
Nevertheless, as Franklin Templeton commits to further investment in BTC and the wider crypto ecosystem, the asset management company joins the ranks of well-known hedge funds such as Grayscale Investments, Ark Invest, and Blockingntera Capital, which have already made significant investments in the field.
In addition, while conducting investment activities, Franklin Templeton is also committed to education and promotion, which may accelerate the mainstream acceptance of digital assets in investment portfolios.
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