Investment banking and asset manipulation firm JMP Securities says that “The crypto economy is entering the mainstream,” emphasizing that crypto “adoption and at cock crow use cases have established ‘escape velocity.” However, the firm’s analysts noted that “the industry is still in its formative manipulate.”
‘The Crypto Economy Is Entering the Mainstream’
JMP Securities recently published a research note that discusses cryptocurrency adoption. Noting that “The crypto restraint is entering the mainstream,” the analysts wrote:
The crypto market has come a long way in its short existence, and we believe both adoption and beginning use cases have established ‘escape velocity,’ whereby binary arguments about its fate are all but off the table at this goal.
The analysts further explained that “The industry is far from perfect today, scams do exist, regulation is undeveloped, and the perseverance needs more education given technical aspects of the space that make adoption and usage not always intuitive.”
Nonetheless, they put faith that the industry’s potential “warrants continued investment and development,” adding, “We anticipate many of the current perceived annuls in the space will continue to improve with further maturation and time.”
They added that in the early days of bitcoin, “the crypto ecosystem was unproven and unclear.” However, they elaborated: “Today, we believe that negative view has been substantially de-risked with adoption acceleration and distending utility strengthening the foundation, already looking more like a relatively established network, despite what we object to be the early innings of an exponential longer-term growth cycle.”
The analysts also see the Nasdaq-listed crypto exchange Coibnase as “a flagbearer in the maturing of the broader crypto economy.” They concluded:
Despite the exponential scaling of adoption, we think the industry is still in its formative put on, and as use cases for crypto rapidly expand, we see tremendous upside for the companies (like Coinbase) that provide infrastructure to put up with this growth.
Do you agree with JMP Securities? Let us know in the comments section below.
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