Head of Pantera Capital: The fundamental factors of cryptocurrency have increased markedly
Dan Morehead, the founder and head of Pantera Capital, an American investment company, stressed that he no longer worries about the future of the blockchain technology, as he did during the fall of the market in 2014 and 2015.
"I think the underlying fundamentals are much much stronger than they were in the 2014-15 crypto winter," Morehead expressed his opinion in an interview with former Forbes editor Laura Shin.
As the head of Pantera Capital said, his company has far-reaching plans for cryptocurrency and Bitcoin, so the company has been making major investments in Bitcoin since 2014. The company has invested in many blockchain projects with a perspective of 5-10 years.
"We are always trying to think ahead 5 to 10 years in our investing and looking at the positions that would do well over a long period of time. We're not trying to get wrapped up in the cycles of the price action," Morehead stressed.
He also expressed confidence that institutional investors will gradually come to the cryptocurrency industry, which has already reached a certain level of development in order to attract big business.
However, Morehead acknowledged that a significant drop in the cryptocurrency market delays major players from entering this type of assets. Note that a few days ago a similar point of view was expressed by investor Mike Novogratz.
"Institutional investors really want to have a custodian that's well-known and regulated. We really haven't had that in the past. People have been talking for years about the impending institutional wave of money coming into the crypto market. I think we now have the required conditions for that to happen," said the head of Pantera Capital.
At the same time, Morehead believes that institutional clients will wait for the recovery of the cryptocurrency market and only then will they start entering the industry.
It should be noted that the results of Pantera Capital, released in October last year, do not inspire much optimism - the fund's assets decreased by 72.7%.