Head of Soros Fund Management Dawn Fitzpatrick remains upbeat about digital assets despite recent SEC lawsuits against Binance and Coinbase.
“I think crypto is here to stay.”
CEO & Chief Investment Officer, Soros Fund Management, Dawn Fitzpatrick on the downfall of digital assets and how larger financial firms could take the opportunity to lead. #BloombergInvest @ErikSchatzker pic.twitter.com/57pFj0QeUL
— Bloomberg Live (@BloombergLive) June 7, 2023
In a discussion with Bloomberg, she noted that incumbent financial firms have an opportunity to take leading positions in the crypto sector.
Fitzpatrick regards the regulator’s current proceedings as a setback that could allow traditional financial institutions to intervene in the digital market and set standards.
The average consumer is likely to benefit from such a shift as regulated institutions properly segregate client assets.
“Particularly from the headlines of the last few days it has become clear that crypto platforms would have won if there had been an adult in the room. There are longstanding and simple norms for how you handle client assets,” Fitzpatrick explained.
Fitzpatrick added that cryptocurrencies have been mismanaged throughout their existence. In her view, norms applied to TradFi could prove useful in the early stages of crypto adoption.
Fitzpatrick believes that digital assets will not disappear. However, in the future, reputable financial firms are likely to take over management as investor trust in some platforms wanes.
Earlier,Dan Tapiero, cofounder of 10T Holdings and Gold Bullion International, predicted an “explosive” bull market. He believes that by 2025 the total market capitalization of cryptocurrencies would reach $6-8 trillion.
In May, former BitMEX CEO Arthur Hayes predicted a new Bitcoin rally by 2024, driven by the upcoming halving.