FinTech Magazine - March 2023 | Page 115

Fidelity International and Elixirr recently collaborated in researching how many institutional clients are offering crypto and digital asset services to clients , how many have dedicated digital asset units in place , and what the perspectives are for growth of the digital assets industry .
“ We are at the early stages of a transformation of financial markets ,” states Bear . “ Whilst the crypto market may be beginning to show green shoots in its recovery , the bigger opportunity is how the key technologies from crypto ( blockchain , tokens , automated market making ) will transform traditional financial markets . Tokenisation can bring great investor access to illiquid markets like private equity and real estate , broader investor access through fractionalisation of assets like art and collectibles , and great efficiencies to post-trade through the instantaneous exchange of tokenised cash and securities through atomic settlement , reducing friction and costs . Some estimates see tokenised markets being a $ 16tn market ( 10 % of global GDP ) by 2030 , and the early innovators such as Fidelity are well-positioned to ride this wave .”
Institutional investors adopting a long-sighted approach The issue of knowledge and education continues to be one of crypto ’ s sorest points . On the retail side , research from Cardify suggests that a third of consumers who invest in crypto admit to having little or no understanding of the products they ’ re buying . Crypto has moved into the mainstream so quickly that some consumers haven ’ t done their research properly before parting with their money – and although
fintechmagazine . com 12