Recent setbacks in crypto such as the collapse of FTX may lead to “further confidence into the ecosystem,” according to CEO of Laser Digital Jez Mohideen.
Having seen many rocky crypto investments going south in the past year, cryptocurrency is at a low point in its history. The fall of FTX, founded by former CEO Sam Bankman-Fried, raised concerns about cryptocurrency’s future as a business.
However, venture capital firms weighing into the industry may change that in the future.
Traditional players enter crypto market
Mohideen, a viewer and participant in venture firms, argued that traditional players entering the market would help regulate it for others. He also said that client stability and aggregation are problems within the industry that could be solved with the right players participating in the market.
Laser Digital hosts several crypto exchanges in its portfolio, such as Bullish and Komainu. All of their portfolio host firms specializing in decentralized currency and finances made to solve fixed-income issues.
The company plans to invest in almost 20 crypto projects in the coming 2023. Some of its interest lie in businesses that assist institutional investors, a growing and stable market.
In 2022 alone, institutional investors ramped up their crypto allocations by 62%, according to a Coinbase survey taken in that year.
Crypto still faces challenges
Institutional investors seeking to get their hands on cryptocurrency still face many challenges despite the increase.
A limited number of accessible infrastructures is one of the problems investors may face.
“The lack of adequate infrastructural solutions has created a significant bottleneck for crypto-keen institutions. We want to help solve this bottleneck issue,” said Mohideen.
Crypto companies wishing to climb out of the crypto fall will need to solve current issues and problems. According to Mohideen, Laser Digital’s objectives for investment focus on plans that innovate on present technology and have straightforward measurements of how to achieve goals.
It is still possible to thrive in the faltering market despite worries of the future.