In CriptoTendencia we have carried out a detailed follow-up of the various banking institutions that have noticed the potential of crypto and the demand of their clients. In this way, Wells Fargo is the last to join, at least for now.
Wells Fargo will offer crypto products, but not all
According to Reuters, Wells Fargo & Co reported yesterday its plan to evaluate and integrate an actively managed cryptocurrency strategy for its wealthy clients.
Yes, you read it right. The report established that the Wells Fargo Investment Institute (WFII) concluded that digital crypto assets are an alternative investment, but for qualified investors.
«WFII believes that cryptos have gained stability and viability as assets, but risks lead us to favor investment exposure only to qualified investors and even then through professionally managed funds.».
In this way, it becomes the latest in a series of large American banks to dive into the crypto world. To mention a few, we have Morgan Stanley and JP Morgan Chase.
However, it is worth mentioning that the investment strategy has been in development for months, said Darrell Cronk, president of WFII.
Likewise, Cronk assured that the institution believes that «the cryptocurrency space has just reached an evolution and maturation of its development which now allows it to be a viable investment asset ».
Why only wealthy clients?
Essentially the answer can be found in that there is still a lot of ignorance about crypto. However, and curiously, this applies to all types of people with different levels of capital.
So why the difference? Probably because senior investors have capital with which to cover possible losses, among other factors. What is certain is that this will translate into a way for institutional capital to enter the crypto market.
Thus, only those investors with a high annual income will have access to Wells Fargo’s crypto investment strategy in June. In this way, Cronk explained that crypto is an evolving asset that requires deep diligence.
We want to know your opinion! What do you think of Wells Fargo’s crypto strategy?