Someone with the background of Mike Novogratz (Partner at Goldman Sachs, Fortress Investments) leaving Wall Street and starting a cryptocurrency fund should catch the attention of savvy investors. As with most people, he heard about Bitcoin from a friend and then slowly started the process of studying what made this new frontier special. His insights here are worth listening to:
1. 2017 was a global, retail driven mania that started to unravel as regulators tapped the brakes
2. Institutional money is getting ready to invest, based on people within his network
3. Some of the smartest managers of endowment funds are looking at Bitcoin as a store of value
4. Custody is the biggest hurdle for institutions
5. Banks will experience FOMO just like retail did
Novogratz shows that the industry did not die at the end of 2017, but the infrastructure necessary for its longterm success have been developed over the last 18 months.