Trillions in institutional money to flow into bitcoin, says Bitwise's Matt Hougan

FinanceTrillions in institutional money to flow into bitcoin, says Bitwise's Matt HouganThe digital asset manager's CIO says large capital pools control up to $200 trillion globally, and just a 1% shift toward bitcoin could unlock massive long-term growth.By Olivier Acuna|Edited by Stephen Alpher3 hrs ago3 min readMake preferred on ShareShare this articleCopy linkX iconX (Twitter)LinkedInFacebookEmailMake preferred on SummaryShowBitwise Chief Investment Officer Matt Hougan predicts that institutional investors could allocate trillions of dollars to bitcoin over the next decade as it becomes a mainstream financial asset.Hougan estimates that a 1 percent bitcoin allocation from institutions controlling $100 trillion to $200 trillion in assets could support his long-term price target of $1.3 million per coin by 2035.He expects future demand to be driven less by corporate buyers like Strategy, and more by large institutions such as pension funds, endowments, insurance companies and sovereign wealth funds, especially as spot bitcoin ETFs offer easier access.Bitcoin will draw trillions of dollars from institutional investors over the next decade as financial advisers, family offices, pension plans and sovereign wealth funds begin to view it as a mainstream financial asset, Bitwise Chief Investment Officer Matt Hougan told CoinDesk.The first professional investors to allocate at scale will be financial advisers and family offices, Hougan said in an email interview on Friday. The shift, said Hougan, is already visible in 13F filings for spot bitcoin ETFs and in moves by large wealth firms, including Morgan Stanley and Wells Fargo, to make bitcoin more accessible to clients.Over time, Hougan expects the money to come from even larger pools of capital: foundations, endowments, pension plans, insurance companies, sovereign wealth funds and central banks.“It’s a process that will take 10+ years,” Hougan said.The scale matters. Those institutions control between $100 trillion…

Trillions in institutional money to flow into bitcoin, says Bitwise's Matt Hougan

Coins in this story

Discussion

Related stories

Hardware wallet sales in Russia more than double as new crypto rules near

Brazil's central bank orders exchanges to delay large crypto transfers abroad

Bitcoin Red Team Says AI Is Finding Critical Exploits Across Core Projects