Wellington Management Co’s February report shows that the major Boston Investment company is looking to embrace cryptocurrency. The report also stated that their systems have underwent upgrades which will allow trading in Bitcoin. Furthermore, it went to state, “Various Wellington teams are already positioning portfolios to take advantage of mining and blockchain implementations by, for example, investing in select chipmakers making components for tracking and creating digital coins.”
That said, one must note that this embrace is not a full one. They are entering the sphere of cryptocurrency with caution. Wellington has made it quite clear that they aren’t purchasing direct exposure to Bitcoin or any other cryptocurrency. Before they even go further with their plan, Wellington has their best analyst researching digital coins extensively.
This could be the start of massive domino effect. Seeing a big institutional investor like Wellington open its arms to cryptocurrency can result in a number of other likewise companies do the same. If this were to happen, one can expect to drastic increase in market capitalization.
Wellington’s report further covers the gigantic investment opportunities in the virtual currency-mining hardware space. Miners persistent demand for GPU has caused Nividia Corporation see an 8% spike in their shares. They increased from $234.04 to $300. Jensen Huang, the CEO of Nividia Corporation told Barron’s, “Crypto is a real thing — it’s not going to go away. This year, the world is starting to come to terms with the existence of crypto. It’s based on blockchain, and it’s very secure and very low overhead. I think there’s clearly real utility. It’s a real phenomenon, and so everyone is coming to terms with it.”