Opinion

Charles Hoskinson Says Crypto Nay-Sayers Overlook Impending Multi-Trillion Dollar Wall Street Entry

Charles Hoskinson Says Crypto Nay-Sayers Overlook Impending Multi-Trillion Dollar Wall Street Entry

The CEO of IOHK, Charles Hoskinson, has made some waves with a recent tweet. In it, Hoskinson argues that observers of the cryptocurrency industry seem to disregard the possibility of institutional investors entering the sector following the ”next wave of regulation”.

In a tweet published today, June 21, Hoskinson wrote how the ”broken record” media’s claims that ”cryptocurrency is going to die” often ignore the looming possibility of a Wall Street entry into the cryptocurrency sector, following more extensive regulation.

Moreover, Hoskinson pointed out that this would entail trillions of dollars entering the cryptocurrency sector. It is true that such an entry could very well involve massive sums of money, and Hoskinson also made a valid point in that proper regulation would be a prerequisite for large-scale institutional investors to enter the cryptocurrency industry properly.

What’s more, it is also true that Wall Street would seem to be gearing up towards an entry into the cryptocurrency market. A mere month ago, the Consensus 2018 conference was held in New York, and it was reported that ”every Wall Street bank was in attendance”.

Furthermore, it has been widely reported that Morgan Stanley is accelerating its efforts to become the first major Wall Street firm to trade cryptocurrency. Goldman Sachs has also recently opened a Bitcoin trading desk, in the light of which Hoskinson’s tweet seems like a foregone conclusion.

However, one should also note that Hoskinson is a notorious cryptocurrency bull, which makes it possible that he is being overly optimistic. Nonetheless, Hoskinson also wields a substantial amount of influence in the cryptocurrency community, and his prediction should therefore arguably carry more weight than any run-of-the-mill cryptocurrency enthusiast.

Hoskinson is a seasoned cryptocurrency executive and is perhaps most well-known as being one of the founding members of Ethereum. Nevertheless, Hoskinson left Ethereum in 2014, following creative differences between himself and Vitalik Buterin.

The key reason for Hoskinson’s departure was that he wanted to restructure the Ethereum project, create a for-profit entity with a more traditional governing structure, and accept an influx of venture capital. Buterin, on the other hand, was adamant that Ethereum should remain a non-profit with a decentralized governance structure.

Following his exit from Ethereum, Hoskinson was eventually approached by one of his former colleagues with a proposal to create a new initiative dubbed Input Output Hong Kong – IOHK – that would develop blockchains for corporations, academic institutions, and government entities.

Fast forward to today, and IOHK is now a household name in the cryptocurrency industry. The Cardano blockchain and the ADA cryptocurrency, both IOHK projects, have garnered significant attention, and ADA is currently the eight largest cryptocurrency in the world.

It would, therefore, seem as if Hoskinson has some understanding as to how the market works and what businesses are looking for in relation to cryptocurrency. Although it is impossible to predict the future, it does seem as if Hoskinson’s tweet does line up with some of the recent developments in the industry.

Image SourcE: “Flickr”

Rasmus Pihl is a writer for Toshi Times by day and an avid follower of the cryptocurrency industry by night. Rasmus holds a Bachelor’s Degree in Marketing from the Gothenburg School of Business, Economics, and Law and runs a Swedish marketing consulting firm. Moreover, when he isn’t writing for Toshi Times, traveling, working or changing the world in some other capacity, Rasmus is more than likely caught up in postgraduate studies.


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