Re: How will institutional investors impact Bitcoin?

Institutional investors can bring stability and liquidity to the Bitcoin ecosystem. They can also help to legitimize Bitcoin and make it more mainstream.what you think about this as a crypto guy ? Wink

Many individuals and institutions are investing in areas where institutional investors are investing. This means that the number of investors is increasing, which is positive for Bitcoin. To invest in Bitcoin, some investors follow the institutions and invest with them. This means that many non-institutional investors brought in by institutions are also investing in Bitcoin.

The more people invest in Bitcoin, the more people it will reach. The more users or investors there are, the more benefit there will be for the spread of Bitcoin. So in short, I would call it a win-win situation.

However institutional investors are also people that have a lot of power when it comes to the policies that are passed around the world, which means they could pass laws that favor them at the expense of everyone else, so it is important to be alert about it as this is likely to happen, also institutional investors can join hands and try to manipulate the market so the weak hands sell their coins for a low price and they can take advantage of them, so not everything is positive when it comes to those institutional investors becoming part of this market.

Institutional investors can provide great support to spread awareness and advocate in favor of law and regulations for startups co-related with bitcoin. But we should have kept in mind that institutions actions are profit-driven and want to pass laws in favor of their own interests, which sometimes may not align with the interest of retail investors like us. However their influence can provoke politicians to pass laws in their favor like lower tax rate, low interest over borrowing etc.