I don't see this as a threat at all simply because of the fact that the crypto space is so large
I'm not speaking of crypto projects, rather the trading of the cryptocurrencies. What's taking place at the present time in the latter is child's play compared to the traditional financial markets. When enough well funded hedge funds with highly skilled algo programmers and traders invade the crypto space, the competition will become an entirely different space than what now exists. Read up on HFT and you'll get an inkling.
My question to Target Fund managers is what makes them think they can compete with some of the participants mentioned in the Forbes article? Some of those guys are heavyweights.