This is a segment of the Imperial newsletter. Subscribe to read the full edition.
One of the biggest stories we have discussed a lot is the rise of institutional adoption.
Sygnum, a digital asset banking group, is not accustomed to the shift, and yesterday announced that the average annual growth rate for trading volume since 2020 has increased by 400%.
“What we've seen over the past year and a half is that a considerable number of traditional institutional trading counterparties have come into the industry and are interested in using solutions to dig into the space,” said Néstor Palao, head of corporate clients at Sygnum.
“We talk about brokerages, prime brokers, investment funds and family offices at Sygnum, looking at regulated gateways to this industry.
However, the change in the industry and overall growth have led to the evolution of the crypto project itself.
Specifically, Palao pointed out that startups are getting closer and closer to Sygnum. In the past, traditional banks weren't that welcoming, so they just had to look for a bank account so they could pay for their employees and contractors.
However, over the past few years the project came to Sygnum and “specialized itself significantly.” Palao explained that these projects have not only founding teams, but also a finance department that “specializes capital management.”
“I see projects every day that start projects. They can raise a significant amount of capital. Or their tokens are attracting a lot of attention and ultimately they sit in a very important balance of Treasury assets,” he explained.
“The only thing we could do was 'give the bank accounts so that employees could pay.' Well, that's still the case, but “How can I properly manage the Token Treasury Department?”
What Palau said to us is alongside what we saw in other segments around the code. In February, Robertre from Pitchbook It's attracting attention That rebounds for venture capital activities were focused quite heavily on “established” teams.
Ah, how does time fly…
