says<\/a> financial institutions are likely to follow family offices, which typically take on higher than average risk, into cryptocurrency investing.<\/p>\n\u201cI think in this next phase, the next bull market or the next business cycle, we\u2019ll see a mass onboarding of institutions. I\u2019ve seen this space before, usually, it\u2019s the family offices that are first to take risks. And we\u2019ve all seen that in this space. <\/em><\/p>\nMany family offices were the first to invest because they\u2019re freer to do what they wanted with their own capital. As I said, most of the institutions have done work including the investment banks. And so now they just need price confirmation, and then they\u2019ll be in. So I think we\u2019ll see a lot of that.\u201d <\/em><\/p>\nPal believes that institutional investment in crypto will be large enough to drive the total market cap of digital assets to more than $10 trillion, more than triple\u00a0its $3 trillion market cap peak in 2021.<\/p>\n
\u201cThe asset class at peak was $3 trillion in 2021. It\u2019s almost impossible for retail investors to continue the pace of adoption. It needs institutional capital as well, which drives out the ongoing adoption curve. So, my view is still by the end of this cycle, this space is probably $10 trillion-plus and that happens because of the institutions coming into the space, offering more products to their clients. <\/em><\/p>\nSo, institutions coming into the space tends to mean that BlackRock offers a product to their network of advisors so it allows more money to come into the space via different mechanisms, i.e. aggregated mechanisms of funds, as opposed to individual accounts being opened on Binance, for example.\u201d<\/em><\/p>\n