Bitcoin may still be a long way from garnering mainstream adoption, but Wall Street might help accelerate that process.
Data from cryptocurrency trading technology firm SFOX indicates that price variations on digital asset exchanges have declined this year — meaning the market leader has become more stable.
SFOX credits this increased stability to Wall Street.
Now, price differences are one-tenth of one percent at most. This fact is illustrated by SFOX’s chart, as shared by Business Insider:
A Peer-to-Peer Electronic Cash System
Less price variation and increased stability is obviously a good thing, as it may help encourage more merchants and retail buyers to accept bitcoin as a viable alternative currency.
Wall Street is Getting Involved
Business Insider noted that Wall Street’s interest in Bitcoin and cryptocurrencies may be seen by Goldman Sachs and ICE — parent company of the New York Stock Exchange (NYSE) — stating their intentions to get involved.
Cryptocurrency investment firms like Grayscale Investments have also reportedly seen an injection of funds from institutional investors this year.
Meanwhile, prominent cryptocurrency exchanges, like Coinbase are Gemini, have made significant efforts to attract and onboard institutional investors into the barely-charted territory of cryptocurrency investments.
What do you think about SFOX’s claim that Wall Street and institutional investment are mitigating bitcoin price differences between exchanges? Do you think Bitcoin will one day become similar to a stable coin? Let us know your thoughts in the comments below!
Images courtesy of Shutterstock, SFOX/Business Insider.