{"id":31426,"date":"2025-06-11T19:16:49","date_gmt":"2025-06-11T19:16:49","guid":{"rendered":"https:\/\/dogewisperer.com\/?p=31426"},"modified":"2025-06-11T19:16:49","modified_gmt":"2025-06-11T19:16:49","slug":"financial-advisors-remain-hesitant-towards-bitcoin-but-wont-be-for-long","status":"publish","type":"post","link":"https:\/\/dogewisperer.com\/?p=31426","title":{"rendered":"Financial Advisors Remain Hesitant Towards Bitcoin \u2014 But Won\u2019t Be for Long"},"content":{"rendered":"
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Almost a year and a half after bitcoin BTC spot exchange-traded funds were unleashed upon the U.S. financial system, financial advisors are still trying to wrap their heads around crypto.<\/p>\n

That\u2019s according to Gerry O\u2019Shea, head of global market insights at crypto asset manager Hashdex.<\/p>\n

\u201cThe overwhelming majority of financial advisors in particular are not recommending an allocation to bitcoin or crypto to their clients at this point,\u201d O\u2019Shea told CoinDesk in an interview.<\/p>\n

\u201cOf course, there are some out there that have been very proactively thinking about this space and getting their clients exposure to it, but that’s really a small subset of the overall market,” he added. “Most of what we’ve been doing in the last few years is based around education.”<\/p>\n

Advisors are receptive to all of this, O\u2019Shea said \u2014 it\u2019s simply that due diligence takes a while, and that they move relatively slowly. In other words, these are still very early days in terms of advisors recommending crypto exposure to their clients.<\/p>\n

Their questions have moved beyond trying to understand what bitcoin or blockchain is, and now focus more on the role that digital assets can play in someone\u2019s portfolio, according to O\u2019Shea. Should it be seen as an equity allocation? Should it replace gold? General scepticism towards the asset class as a whole tends to be confined to older generations of financial advisors.<\/p>\n

At the top of the list of concerns is volatility. Advisors may be aware that bitcoin is a developing asset with a 16-year track record, but at the end of the day, they may still struggle to stomach the currency\u2019s regular 20% or more declines.<\/p>\n

Anxieties about bitcoin\u2019s energy consumption \u2014 which were big enough in 2021 for Tesla to stop receiving bitcoin payments \u2014 have somewhat receded to second place, O\u2019Shea said. In fact, the narrative around proof-of-work seems to have changed significantly in the last few months, he noted, with people increasingly appreciating that bitcoin mining can help develop renewable energy projects.<\/p>\n

Coming in third is criminality. Bitcoin is still often seen, even by members of Congress, as a payment system that facilitates drug dealers and sanctions evaders. Financial advisors still bring this up as a point of concern, O\u2019Shea said.<\/p>\n

For him, there are two main themes in 2025 when it comes to digital assets: bitcoin and stablecoins. And while it isn\u2019t as straightforward to gain exposure to the growth of the stablecoin market, he stated that smart contract platforms such as Ethereum and Solana \u2014 which provide the infrastructure for stablecoins to function \u2014 should become interesting to investors.<\/p>\n

\u201cThere is certainly real utility for these platforms. A lot of people refer to stable coins as the first killer app, right? Because it’s something that intuitively people can understand,\u201d O\u2019Shea said.<\/p>\n

In any case, the hesitation around bitcoin won\u2019t last forever, he predicted. \u201cThese folks are under-appreciating how developed this ecosystem is, and how beneficial an allocation to this asset class can be over the longer term,\u201d he said. \u201cEven by the end of the year, there’ll be a lot more that appreciate that fact.\u201d<\/p>\n<\/div>\n","protected":false},"excerpt":{"rendered":"

Almost a year and a half after bitcoin BTC spot exchange-traded funds were unleashed upon the U.S. financial system, financial advisors are still trying to wrap their heads around crypto. That\u2019s according to Gerry O\u2019Shea, head of global market insights at crypto asset manager Hashdex. \u201cThe overwhelming majority of financial advisors in particular are not […]<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"iawp_total_views":0,"footnotes":""},"categories":[2],"tags":[3,4,5],"class_list":["post-31426","post","type-post","status-publish","format-standard","hentry","category-news","tag-crypto","tag-doge","tag-news"],"_links":{"self":[{"href":"https:\/\/dogewisperer.com\/index.php?rest_route=\/wp\/v2\/posts\/31426","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/dogewisperer.com\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/dogewisperer.com\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/dogewisperer.com\/index.php?rest_route=\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/dogewisperer.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=31426"}],"version-history":[{"count":0,"href":"https:\/\/dogewisperer.com\/index.php?rest_route=\/wp\/v2\/posts\/31426\/revisions"}],"wp:attachment":[{"href":"https:\/\/dogewisperer.com\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=31426"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/dogewisperer.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=31426"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/dogewisperer.com\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=31426"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}