A former Goldman Sachs’ executive has joined Blockchain, a cryptocurrency wallet service, to help boost its overall presence with institutional clients. According to Blockchain’s announcement made on Tuesday, Midigan joined the firm this month.
Midigan will be working as head of institutional sales and strategy. Most recently, she served as Goldman Sachs’ head of institutional wealth services. This is a division that attained a record $1.49 trillion in 2017 in total assets under management, as per the information attained from Blockchain.
Previously, Midigan served in various capacities at Goldman since 2003. Some of the roles she has been involved in include COO in charge of the G10 world foreign exchange business.
With the move to hire Midigan at Blockchain, this is a sign that the wallet is focused on getting more institutional clients. This is a market that is seen as potentially lucrative. Instructional investors have been hesitant in terms of rushing to get involved in cryptocurrency, as was indeed projected after last year’s launch of futures contracts.
Institutional Clients: A Sceptical Lot
Considering the volatility that has been associated with cryptocurrency over the last year especially, institutional clients are yet to fully embrace it to the point of gaining enough confidence to get involved. For instance, Bitcoin hit an all time high last year by December with values of over $19,000. However, this has since dropped and it currently trades at just above $8,000 as per the data on Coindesk.
However, there is a ray of hope that institutional clients could finally be warming up to the idea of trading in cryptocurrencies if recent developments is anything to go by. The current CIO of BlockTower capital and former manager at the University of Chicago, Ari Paul, says that he has been in talks with various pension funds and endowments that are ready to enter the market – if they can be convinced.
In a recent interview with CNBC, Paul said:
I do think it’s inevitable from a few angles. Even if they never believe in it as an asset class, they’re smart enough to recognize the alpha opportunity.
What do you think about the move by Blockchain to hire Breanne Madigan? Will this help inspire institutional clients to finally embrace cryptocurrency? Let us know your views in the comments section below.