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The gains cryptocurrencies made last week is not the only good news for the crypto industry. As the market is taking a positive turn, more and more investors and investment funds are now looking to invest in crypto. One such example came from the two US-based pension funds when in a surprising move, they invested in the $40 million crypto venture-capital fund.
According to the company, Morgan Creek Digital, that secured the funding, the pension funds are based in Fairfax country, Virginia. They are Fairfax County Employees and Fairfax County Police pension funds.
The fund named Morgan Creek Blockchain also secured investment from several other high-profile investors that include a university endowment and an insurance company. This shows the growing belief among investors as well as institutions in the future of crypto despite the recent downfall in prices.
The move also reflects that the crypto industry is diversifying, as investors pool is now moving away from retail investors to more institutional investors. Pension funds are considered as one of the most conservative type of investors and until now refrained from investing in digital assets that are considered a little more volatile.
This shows the changing attitudes of conservative investors towards digital assets. According to the chief investment officer of one of the pension funds, Katherine Molnar, she sees digital assets as an emerging opportunity and with an attractive return profile.
There was also a major impact on the crypto market after Morgan Creek Digital announced about the investments, as all major currencies reported sharp gains in the following hours. This also resulted in a $1 billion gain in the total coin market capitalization that recently got as high as $122 billion.
Overall, market experts see this as a piece of positive news for the crypto market, with expectations on the rise that more conservative investors will now follow the lead.