Crypto Investment Management Firm Claims Stablecoins will Lead Market by Next YearDec 11, 2018 at 22:53
A top official of CCL Investment Management is claiming that with the sudden drop of Bitcoin prices, stablecoins will manage to lead next year’s crypto market rebound.
During a summit hosted by Bloomberg last Friday, the company’s chief investment officer, James Bevan, said that those who continue to hold their coins despite this year’s bearish market may get some positive news next year.
“I don’t regard this as an existential crisis, I just regard it as a bump in the road and institutional investors have had plenty of bumps in the road in conventional currencies and transaction systems,” he expressed.
The official is among those who specified stable coins and digital contracts as two potential avenues where the market can expand for next year.
“While no one forecast an immediate rebound in crypto prices — Bitcoin has lost about 80 percent of its value this year — they cast the current downturn as more like growing pains than rigor mortis. In fact two areas of growth for the industry will come from low-volatility tokens known as stable coins and so-called security tokens, digital contracts that represent ownership of assets such as real estate or stocks,” he explained.
As of this writing, Tether, the most valuable stablecoin in the market today that is pegged to the US dollar, is valued at $1.0078 a piece, down by 0.74 percent with a market cap of $1.8 billion.
Last month, a report by South China Morning Post, revealed that the continuing bad publicity towards initial coin offerings is already paving the way for the eventual rise of security token offerings next year.
The report cited that Fabric Ventures’ study which found that 58 percent of all ICOs conducted this year either failed to raise capital, disappeared or refunded participants partly caused the phenomenon