During the recent market turmoil, the global cryptocurrency market cap fell below $1 trillion for the first time in over a year. However, it does not appear to concern some crypto hedge funds all that much. Amid the bear market, raging inflation, and fears of recession, they still keep pouring millions of dollars into DeFi.
However, unlike what we have seen before, this rise in investments hasn’t been driven mainly by professional and retail investors but instead has been led by institutional investors who have either recently joined or are strengthening their presence in DeFi.
“The growth of DeFi as a sector, despite market conditions, is a testament to its resilience and the immense potential it holds for institutional investors. According to PwC’s recent Global Crypto Hedge Fund report, the number of traditional hedge funds investing in digital assets has risen from 21% to 38% in just a year. This trend is expected to continue, and as a venture capitalist, I am extremely excited to be at the forefront of this revolution in finance. DeFi has the potential to challenge traditional finance and bring greater accessibility and transparency to the financial sector.” Stuart McKinnon, CEO, MeteTech Capital Partners
Read the rest of the article here: DeFi Still Hot for Institutional Investors Despite Bear Market | by Audrey Nesbitt | DataDrivenInvestor