A JP Morgan analyst discussed on Friday institutional investors’ interest in cryptocurrencies, stating that crypto wasn’t even on their radar.

Jared Gross, JP Morgan Asset Management’s head of institutional portfolio strategy, said on Bloomberg that crypto was nonexistent for most large institutional investors. Gross attributed their absence of interest due to the high volatility and lack of intrinsic return of cryptocurrencies.

Gross also added, “Most institutional investors probably are breathing a sigh of relief that they didn’t jump into that market and are probably not going to be doing so anytime soon,” after stating it was self-evident that Bitcoin failed to prove to be digital gold.

But Gross isn’t the only executive at JPMorgan to have a gloomy outlook on cryptocurrencies.

CEO Jamie Dimon has been a harsh critic of cryptocurrencies, stating just recently that crypto is a complete sideshow and crypto tokens are like pet rocks. Dimon’s distaste for cryptocurrencies stems from the early days of Bitcoin’s rise, and his recent criticism follows JPMorgan’s development of JPM Coin — what the bank refers to as a permissioned system that serves as a payment rail and deposit account ledger.

Crypto Hope is All But Lost

Only a few days remain of 2022, and cryptocurrencies are unlikely to recover from the massive losses some coins endured during the year, losing 80% of their value.

Despite frail economic conditions, cryptocurrencies have gained momentum amongst banks and financial institutions experiencing high demand for cryptocurrencies.

Nasdaq formed a crypto unit called Nasdaq Digital Assets to accommodate the increased demand from institutional investors. State Street, the second-oldest United States bank with global operations, stated that demand from institutional investors is unwaning.

A study by Fidelity Digital Assets published in October revealed that 74% of institutional investors surveyed plan to include digital assets as part of their investments.

Popular cryptocurrency exchange Coinbase reported that institutional investors have increased their allocations during the crypto winter.


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