Bloomberg: Julius Baer Braves ‘Bubble-Burst’ Moment in Crypto Wealth Push

Discussion in 'Crypto Assets' started by johnarb, May 19, 2022.

  1. johnarb

    johnarb

    Prolly nothing...


    https://www.bloomberg.com/news/arti...ns-crypto-commitment-amid-bubble-burst-moment

    Julius Baer Braves ‘Bubble-Burst’ Moment in Crypto Wealth Push
    • Swiss wealth manager is trialling crypto services for clients
    • CEO Rickenbacher says crypto has transformative potential
    [​IMG]
    A Cryptomarket Hologram, which can show asset value in real time, during the Bitcoin 2022 conference in Miami. Photographer: Eva Marie Uzcategui/Bloomberg
    By
    Marion Halftermeyer
    May 19, 2022, 2:07 AM PDTUpdated onMay 19, 2022, 2:27 AM PDT

    Julius Baer Group Ltd. said it is working on offering services in digital assets to its wealthy clients, and sees the current turmoil in global crypto markets as potentially defining moment for the asset class.

    The Zurich-based private bank wants to place itself at the intersection of “digital assets and the fiat world”, according to a statement on the bank’s updated strategy on Thursday. Pilot programs are currently in place with an eye to offering advice, trading and investing in cryptocurrencies to its rich customers.

    “It could well be that at this very instant we are witnessing a bubble-burst moment of the crypto industry, and we all know what happened after the dot-com bubble burst 30 years ago,” Chief Executive Officer Philipp Rickenbacher said during a presentation of the bank’s strategy to investors on Thursday.

    “It paved the way for the emergence of a new sector that indeed transformed our lives; I believe digital assets and decentralized finance hold that same potential,” he said.

    Baer’s shift toward offering crypto services is in stark contrast to Zurich rival UBS Group AG, one of the world’s largest wealth managers which so far has said it’s not interested in advising clients on “speculative” assets. Baer has taken a stake in SEBA Crypto AG, one of the two fully-regulated crypto banks in Switzerland.

    Baer said when investing in SEBA in 2019 it was “convinced” that digital assets-- a catch all term for cryptocurrencies, blockchain technologies, tokenized assets, and non-fungible tokens-- would become a “legitimate sustainable asset class of an investor’s portfolio”. The relationship with SEBA has allowed Baer to refer clients seeking exposure to crypto-related investing and trading without the bank developing out its own infrastructure for custody and risk-management of the asset.

    The bank plans to develop its own research to clients on crypto, DeFi, and blockchain and ultimately provide regulated advice on investing and trading in the asset class, and the platform for them to do so at Baer.

    The pilot programs concern token booking, trading, and compliance to test and learn, and develop the vocabulary around digital assets.

    Speculative Assets
    UBS Chief Executive Ralph Hamers said last year that the wealth-management giant would not be actively offering clients the ability to invest or trade in crypto, calling it an untested and speculative asset class. “We don’t advise on speculation,” Hamers said during an earnings call in October.

    “We believe crypto has been ineffective as a portfolio diversifier or inflation hedge,” UBS’s chief investment office led by Mark Haefele said in a note to wealth clients this week as the asset class tumbled on the back of the collapse of stablecoin TerraUSD.
     
    Tokenz and Baron like this.
  2. Nobert

    Nobert


    That's a curved little screen in a disco glass ball.

    This is a hologram :
     
    Last edited: May 19, 2022
    johnarb likes this.
  3. Pekelo

    Pekelo

    He is not wrong. Crypto can transform wealth from the gullible to the scammy.
     
    albion likes this.
  4. LuckyMac

    LuckyMac

    It really could be that important i just can't see it ever going away fully even if it was a bubble that burst. It is so easy to transfer funds and to have many technical benefits itll be around for a long time imo
     
    johnarb likes this.
  5. Separate the technology from the asset.

     
  6. I wonder if BTC is still a thing after this QT period, probably we don't see too much of QT but who knows.
     
    Last edited: May 21, 2022
  7. @johnarb -- you sell your bored ape yet?
     
  8. johnarb

    johnarb

    No, not yet, it's a hold until eoy and then will consider to further hold or sell

    I also have not sold the Otherside Otherdeed (metaverse land NFT that was airdropped a few weeks ago to BAYC holders)
     
  9. Just curious, what would make you hold or sell? Is there a stop-loss you would use?


     
    johnarb likes this.
  10. johnarb

    johnarb

    No worries, it's a diversification strategy within the crypto assets ecosystem

    No stop loss, will sell when ready (or need to)

    ------------
    • My (our) investment portfolio is only crypto assets (no stocks, bonds, or real estate)
    ------------

    The portfolio $ value is majority in BTC (Eth went down in value more than Btc, recently)

    The Bored Ape is several levels of diversification
    • It's an Ethereum diversification to Bitcoin since BAYC is priced in Eth
    • It's a metaverse diversification as BAYC (yuga labs and partners are building Otherside metaverse)
    • It's a crypto gaming as the first app on the metaverse is gaming world
    • And of course, it's an NFT diversification to Bitcoin, per collectibles theme and VIP club membership
    • The collectible portion is interesting since the ultra rich are using them for "inflation hedge", i.e. Mercedes Benz sold for $155M and some dinosaur stuff sold for millions, why not a BAYC for flex and influencer/celebrity cred?

    -----------

    upload_2022-5-21_10-50-2.png

    (not my Otherside below but as a gauge of price)

    upload_2022-5-21_10-52-5.png
     
    Last edited: May 21, 2022
    #10     May 21, 2022