Ken Griffin, the founder and CEO of FoCitadel hedge fund, has admitted that he was wrong about bitcoin. He also revealed that Citadel would consider investing in crypto in the coming months.
American hedge fund manager and billionaire Ken Griffin, who has been a longtime critic of bitcoin and cryptocurrencies, has finally changed his stance. Griffin lavished praise on the asset class in a Bloomberg interview, saying it has been one of the great stories in finance during the past 15 years.
Griffin is the founder and CEO of Citadel, the largest market maker in the US, and was involved in the Robinhood-GameStop incident. He categorically admitted that he was critical of the property class during that time and has finally arrived. He is also known to have made a bid for a crypto-funded venture to buy a copy of the United States Constitution.
Most interestingly for market enthusiasts, Griffin confirmed that Citadel will be investing in cryptocurrencies in the coming months. The firm plans to “seriously consider being a market maker in cryptocurrency” and this could significantly increase the market.
He is one of several current market veterans who have changed their opinion on bitcoin and crypto over the years. Michael Sailor is another such prominent figure and has become one of the most prominent flag bearers of the market.
Will crypto acceptance lead to better regulation?
In recent years crypto has been increasingly welcomed by the current financial community. This has led to a more positive sentiment about the asset class and optimism about its future. Bitcoin proponent Anthony Pompliano mentions this wave of new investors a tweetSaying that they all eventually surrender.
The market has been buoyed by an influx of capital from institutional investors and traditionally crypto-skeptical entities. However, the regulation does not necessarily keep up with it. In order to build a greater base, crypto will need regulation to lure investors into traditional markets.
However, there is some positive feedback loop here. As more office bearers join in, the need for regulation becomes more apparent to officials like the SEC. And as more regulation builds up, more investors feel comfortable putting in their capital.