The appointment of new leadership at the US Securities and Exchange Commission (SEC) is overwhelmingly welcome to institutional investors and wealth managers when it comes to regulating the digital asset market, but they want action too, according to new global research (1) by London-based Nickel Digital Asset Management (Nickel),.
Sign up to our free newsletters
Anatoly Crachilov, CEO and Founding Partner at Nickel Digital
· nearly 9 out of 10 believe Gary Gensler’s resignation is positive for digital assets
· 94% believe institutional investors will be more positive towards the market
· Increased clarity on crypto classification is top of the list the new SEC leadership needs to address
The appointment of new leadership at the US Securities and Exchange Commission (SEC) is overwhelmingly welcome to institutional investors and wealth managers when it comes to regulating the digital asset market, but they want action too, according to new global research (1) by London-based Nickel Digital Asset Management (Nickel), Europe’s leading digital assets hedge fund manager founded by alumni of Bankers Trust, Goldman Sachs and JPMorgan.
The study with organisations invested in the sector, found 89% believe the resignation of previous chairman Gary Gensler will have a positive impact on the sector and 91% believe the resignation is positive for the future regulatory environment for the market.
The change in leadership with the appointment of Mark T.Uyeda as acting chair as well as the appointment of David Sacks as Crypto Tsar could drive increased institutional investment in the sector. Almost all (94%) questioned say they believe institutional investor sentiment will be more positive as a result, with 24% saying it will be significantly more favourable.
Nickel’s research with institutional investors and wealth managers in the US, UK, Germany, Switzerland, Singapore, Brazil and the United Arab Emirates with organisations who collectively manage around $1.1 trillion in assets, shows 90% expect a more pro- crypto stance from the new leadership.
The key regulatory change identified by the study is increased clarity on crypto classification – around 69% highlighted that as a change they would like to see while 15% want to see more favourable regulation and nearly one in 10 (9%) want slower regulatory action. Around one in 12 (8%) expect no significant change.
Anatoly Crachilov, CEO and Founding Partner at Nickel Digital, said: “Regulation of the digital asset sector was a significant part of the US Presidential election and Donald Trump’s explicit promise to sack Gary Gensler on the first day in office clearly pointed out the direction of travel.”
“The change of guards at the SEC is seen as positive for regulatory clarity going forward and is expected to boost the institutional investment into the sector.”
”The focus on crypto during the election has created expectations that there will be major changes at the SEC, which we have already seen take place with the agency dropping numerous actions against legitimate crypto firms, paving the way for the boost of economic activities the sector.”
- Nickel Digital commissioned the market research company Pureprofile to interview 200 institutional investors and wealth managers across the US, UK, Germany, Singapore, Switzerland, Brazil and the UAE in January 2025.
Source: ETFWorld.co.uk
Subscribe to Our Newsletter
