Once again Anthony Pompliano has raised controversy on Twitter. He claims that Wall Street hates Bitcoin.
Since the creation of Bitcoin, there has always been controversy over it. Even when its popularity has increased, the debate has grown between those who advocate this cryptocurrency and those who consider it a fraud.
According to Anthony Pompliano, co-founder of Morgan Creek Digital and advocate for the implementation of Bitcoin, there is a hate relationship between Wall Street and the cryptocurrency. Pompliano recently wrote on his Twitter that “Wall Street hates Bitcoin because they love the Federal Reserve”.
Besides, he argued that the reason for this is that on Wall Street “they cannot believe that an algorithm can conduct better monetary policy than a group of old white guys in suits and ties.”
There was a wave of funny responses by those of those people who only paid attention to the “old white guys” part. For instance, a user named @ Ouija1000 criticized Pompliano’s emphasis on the fact that they are white men.
This is understandable, considering the marked situation of tension that the USA has been experiencing since the murder of George Floyd, and the subsequent wave of racially motivated protests in the country.
What Led to this Hate towards BTC
Everyone knows that the main problem for Wall Street traders regarding Bitcoin is its volatility. Many people believe that it has more to do with an issue of avoiding the challenge to the status quo that is beneficial to them. However, that would mean getting into a fairly lengthy debate.
Of course, this does not mean that Bitcoin is not gaining recognition within the financial and institutional world. For instance, the introduction of derivatives has allowed many institutions to become involved with BTC in a way or another.
In the case of derivative products for other asset classes, these allow Bitcoin holders to set their prices. With this, these investors would be transferring the risk of market fluctuation to other parties.
What Pompliano said in his Twitter account is not entirely false, since a majority on Wall Street considers Bitcoin to be detestable. Warren Buffett has expressed this same opinion on previous occasions.
However, Bitcoin has come a long way to become increasingly recognized by different institutional actors.
It is important to pay attention to the opinions of the more traditional and conservative investors or institutions. After all, being open to different perspectives is critical to building the right cryptocurrency industry that allows for its large-scale implementation.
The truth is that Bitcoin came to challenge paradigms, which not everyone likes. Furthermore, analysts have described this cryptocurrency as being a volatile asset. For this reason, it will naturally not be suitable for those who have a short investment horizon and are extremely risk averse.
Therefore, it should not be surprising that traditional asset institutions have yet to adopt the use of Bitcoin massively. However, the latent challenge for the cryptocurrency community is to create, convince with facts, and make the impossible possible.
By Alexander Salazar