What is the “firewire” of the next bit of bitcoin bull market?

What is the “firewire” of the next bit of bitcoin bull market?

Why are retirees not interested in Bitcoin?

The research firm said that retirees have been looking for a viable asset class to invest in, and the IRS's confirmation of the cryptocurrency IRA (individual retirement account) can be seen as a rise in demand for crypto assets by retirement account holders. index.

“Retirees are always interested in alternative assets that can help diversify their portfolios to cope with market volatility. The IRS approves the cryptocurrency IRA, indicating that retirees are increasingly interested in adding some cryptocurrencies to their retirement accounts. The researchers said.

For retirees, even if Bitcoin is considered a viable alternative to assets such as gold, it is difficult to invest in it due to technical constraints.

Typically, investors purchase encrypted assets through regulated exchanges such as Coinbase, Gemini and Kraken in the United States. However, due to strict regulatory requirements, investors must undergo a rigorous understanding of the customer (KYC) verification process.

After a long process, investors must transfer funds from bank accounts to exchanges, most of which require online services.

For retirees and older investors, the whole process can be cumbersome, and it's as simple as buying a stock over the phone like a company like Fidelity or Blackrock, and the cryptocurrency market is unlikely to attract enough retirees. force.

What is the “firewire” of the next bit of bitcoin bull market?

Bitcoin must be as simple as stocks

At the end of 2018, Jeff Sprecher, chairman of the New York Stock Exchange (NYSE), said in an interview with Fortune magazine that he intends to include bitcoin in the 401(k) plan, but currently The currency does not have a good market structure.

He said: "Bitcoin does not have a good market structure. Even with Bitcoin, different markets will issue many different prices. And you can pay up to 6% of the difference and exchange dollars with Bitcoin, which means you receive Bitcoin needs to rise 6% before balancing.

Sprecher said that in the future, asset management companies and financial institutions will use the money trusted by Millennials to attract younger generations, such as Bitcoin.

“Millennial generations don’t trust traditional financial institutions. To gain their trust, banks, brokerage firms and asset management companies can use the currency that millennials believe, such as bitcoin. Using digital currency has brought a lot of criticism,” Sprecher added. Road.

If Fidelity, ICE's Bakkt and other hosting providers can successfully create a solid market structure for Bitcoin as suggested by Sprecher, then more retirement account holders and investors who were previously reluctant to invest in Bitcoin may find Asset classes are more attractive. (continuous chain)

We will continue to update Blocking; if you have any questions or suggestions, please contact us!

Share:

Was this article helpful?

93 out of 132 found this helpful

Discover more

Opinion

Navigating the Cryptocurrency Rollercoaster: Strategy as an Art Form

Crush the Crypto Game Essential Tips for Thriving in a Bull Market and Maximizing Profits

Market

Ethereum Soars Past $1.6K, Bitcoin SV Takes the Lead in Altcoin Surge with a 30% Boost

Market capitalization saw a 5% increase in the past 24 hours.

Policy

First Trust's 'Buffer ETF' Taking a Bitcoin Plunge with a Safety Net

Financial firm First Trust is seeking approval from the SEC for a new Bitcoin buffer ETF, which will be based on eith...

DeFi

Mocaverse, KuCoin, and Halo Wallet Collaborate to Streamline User Experience in the Web3 Space 🚀

The collaboration between Mocaverse, KuCoin, and Halo Wallet promises to revolutionize Web3 navigation by seamlessly ...

Market

Shocking Revelations! Crypto Exchange News Listing and Delisting Announcements for December 4, 2023

Attention, Fashionistas! Feast your eyes on our latest roundup of cryptocurrency exchange updates from the past week,...

Blockchain

On-chain data February scan: Coin price roller coaster, boosting on-chain data, is there a relationship between the two?

According to CoinDesk data, in February 2020, the price of Bitcoin continued to rise in January, but began to adjust ...