Wall Street Remains Undeterred to Experiment with Cryptocurrencies
The chief executive officer and founder of DRW, Don Wilson is one of the largest proprietary traders in the US. He is a finance leader who remains undeterred by the bearish crypto market.
For instance, the real estate investment arm of DRW, Convexity Properties has engaged in creating security tokens that are backed up by tangible, real estate and real-world property. Convexity Properties made a recent deal with the owner of a student tower block that is near the University of South Carolina’s campus in Columbia. The deal was made tokenize the building that will turn the original building into a private real estate investment trust.
Digital securities help companies and individuals to bypass the existing finance infrastructure that exists today. Selling a part of the value of an asset which can easily be traded with clear ownership that’s recorded on the blockchain need to make the overall process and asset cheaper and more liquid.
Don Wilson said, “For someone who wants to invest [in property], it can be very hard to do. From our perspective, it’s cumbersome to sell part of a building.”
He further added, “Cryptocurrencies and blockchain allow anyone to tokenize any tangible physical asset such as gold or oil.”
However, DRW is not the only mainstream finance member who is looking to profit from the cryptocurrency industry, in spite of its recent collapse. In October 2018, one of the largest multinational asset managers, Fidelity began to offer cryptocurrency trading for the investors including large family offices and hedge funds. Moreover, The Nasdaq Exchange will also keep up with their plans of launching Bitcoin Futures in early 2019.
Other cryptocurrency firms including Coinbase, Archax, and Circle will begin trading security tokens shortly. Current exchanges like the Six Swiss Exchange and Bakkt will also join the crypto exchanges and offer these security tokens. Where the crypto industry is experiencing a significant decline, the industry yet shows great potential and promise, since mainstream finance companies continue to experiment with emerging technology.