President of Coinbase: Institutional investors should tune in for the long term

President and Chief Operating Officer of Coinbase Asiff Hirji said that institutional investors who have short-term goals, it is better not to touch cryptocurrency.

During his speech on CNBC, Hirji stressed that his company warned investors to be cautious during the period of explosive growth of Bitcoin back in 2017, but many cryptocurrency enthusiasts did not heed the warning.

At the same time, the head of Coinbase agreed that there had never been such an influx of institutional investors in the cryptocurrency industry, which occurred in 2018, and even a decline in trading volumes did not affect this trend.

When he was asked about the consequences of the fall in the cryptocurrency market for the company, Hirji declined to give a direct answer.

"You should assume that (Coinbase) will over the course of time add all the cryptocurrencies that matter in as many geographies as we are allowed to add them," - said the head of the exchange.

Hirji stressed that, despite the fall in the cryptocurrency market, many institutional investors have joined Coinbase. "We've had hundreds of institutions onboard onto our custodian platform," he said. Coinbase has a custodial license and provides sufficient liquidity for trading institutional players.

"If that's your time horizon, as an institutional investor, you shouldn't be touching this [cryptocurrencies].

But, if you have a long-term constructive view of where crypto is going, we're [Coinbase is] the best-leveraged bet on crypto that you can find," Hirji said.

He also admitted that although the company had previously been valued at $ 8 billion, now it costs less, and profits have declined along with a decrease in trading volumes. According to the company's operating director, his team will have to work hard to enter the stock exchange.

SOURCE