Institutions Shift Focus to Multi-Asset Strategies Amid Crypto Market Caution
Gracy Chen, CEO of Bitget, recently spent time traveling through the US and Europe, meeting with Wall Street traders and institutional clients. The conversations she had were not marked by panic or optimism, but rather a cautious sentiment towards crypto.
The biggest takeaway from her trip was that some of the largest institutional trading venues are still recovering from last October's market shock, known as the 10.10 event. Liquidity at several major firms dropped 30 to 40% and has not fully come back.
Institutions are not abandoning crypto, but their approach has shifted towards multi-asset strategies rather than standalone investments in digital assets. They are now prioritizing security, risk management, and capital efficiency after recent market challenges.
Chen emphasized that firms that thrive post-bear market will be those that continue to innovate and address real customer needs, not just survive.