Cryptocurrency wallet service Blockchain announced on Tuesday that top Goldman Sachs executive Breanne Madigan would be joining the firm as head of institutional sales and strategy.
Blockchain has positioned Madigan in this role in a bid to appeal to the growing number of institutional investors choosing to begin exchanging cryptocurrencies. The market for this type of client is seen as particularly lucrative but is yet to have fully taken off.
The move by Blockchain could have been influenced by the recent news of George Soros and the Rothschilds beginning their venture into the cryptocurrency market. Powerful players such as these will be looking to invest and store their funds with the best-staffed teams.
Analysts have predicted 2018to be the year institutions will enter the market, as did former portfolio manager at the University of Chicago Ari Paul. He recently spoke to CNBC on the subject, saying: ”I do think it’s inevitable from a few angles”.
There are many institutional investors, however, that still view investment into digital currencies as particularly risky. While Bitcoin may be the most popular currency to purchase, the volatile fluctuations that have seen it drop to less than half its valued worth in December 2017. The unstable market conditions continue to deter high-investment traders.
Madigan most recently headed the department of institutional wealth services at Goldman Sachs. Under her leadership, the division saw the total amount of assets managed at a record of USD 1.49 trillion in 2017, as reported by Blockchain.
CEO of Blockchain Peter Smith commented on her move to the firm, noting, ”Breanne has a proven track record of adding value to her teams and her clients, and as Blockchain continues to grow its institutional presence, I can think of no one better to help scale our business”.
Blockchain currently has 24 million active wallets registered on the platform. It offers a cryptocurrency wallet service similar to Coinbase.