April 29 – May 5, 2019 | Canadian Banks and Blockchain, Facebook Stablecoin & More Crypto News
3iQ Research Group consolidates the top five cryptoasset stories of interest
to investment advisors and our investors.
Investment Advisors Should Not be Apathetic to Cryptoassets
May 1 – While speaking at a panel during the ETF Summit Toronto on Wednesday May 1, Fred Pye of 3iQ Corp noted that advisors who are apathetic to cryptoassets could be at risk of failing to connect with the next generation of investors. Pye also noted that investors should consider holding cryptocurrencies in their “growth” portfolios, which could contain other thematic investments such as robotics or autonomous vehicles.
“The next generation of clients that are 35 and under, if you are not prepared to look at cryptoassets and the digital asset space, you are not going to be able to attract those clients because they want to be able to do everything online,” said Pye. “But their asset allocation is way out of control and is wrong. They need financial advisors to wheel them back. Advisors need to show them that cryptoassets are less than between -0.15 and +0.15 correlated to every other asset class we look at. As a standard hedge fund manager, you are looking for the ideal, perfect non-correlated asset class.”
Fidelity: Survey Finds Institutional Investors are Eyeing Crypto
May 1 – Fidelity investments and Greenwich Associates have conducted a survey on institutional investors’ views on digital assets such as cryptocurrencies. The survey was conducted on 441 institutional investors through November 2018 to March 2019. The survey found that 47% of institutional investors believe that digital assets are worth investing in. The same percentage of institutional investors also said that they believe digital assets are innovative investments, and are worth an allocation to their portfolio. 46% of these institutional investors also appreciated how these digital assets show a low correlation with other traditional asset classes. 72% percent also said that they would prefer to buy investment products that hold digital assets, and 57% percent said they prefer to buy them directly. “That’s interesting because I’d argue that no one owns dollars or euros in a fund,” said Tom Jessop, the president of Fidelity Digital Assets.
Bitbuy Completes a Proof of Reserve Audit, Launches a Trading Desk
May 2 – The Canadian crypto exchange Bitbuy has recently completed a “Proof of Reserve and Security” audit on its storage methodologies, asset segregation, security, and solvency. The company also included a “team risk test” on its management and staff. The audit stemmed from a forward-looking approach to internal controls after the scandal of the Canadian crypto exchange QuadrigaCX which cost Canadian investors around $193 million CAD. To conduct the audit, the exchange used the company CipherBlade, which provides blockchain forensics and other cybersecurity consulting for crypto companies. In addition to the audit, Bitbuy also launched their ‘Pro Trade’ platform, which offers more advanced trading features, such as crypto-to-crypto trading pairs and a low latency order matching system which is designed for high-frequency traders.
Facebook is Now Building its Cryptocurrency-based Payments System
May 2 – Facebook has released more details regarding its upcoming cryptocurrency-based payment system. The name of the project is Project Libra, and it will be a stablecoin that is backed by fiat currency. Facebook is currently recruiting “dozens of financial firms and online merchants” to help support the project. Facebook is also planning to link this cryptocurrency payments system to its core ads engine, so it can reward users for viewing advertisements on its platform. The introduction of a cryptocurrency-based payments system to some 2.5 billion users worldwide could help spur the adoption of cryptocurrencies significantly.
Five Canadian Banks Now Let Users Verify Identity Using the Blockchain
May 2 – Five major Canadian banks are now utilizing blockchain technology to verify client identities. These five banks include Canadian Imperial Bank of Commerce, Royal Bank of Canada, Bank of Nova Scotia, Toronto–Dominion Bank, and Desjardins Group. The banks have integrated with a mobile app, called Verified.Me, which is developed by SecureKey Technologies. SecureKey Technologies is built on the IBM Blockchain and is available for both Android and Apple iOS. “Security and trust are two expectations that consumers have when it comes to their personal information and digital identity. Creating seamless and convenient experiences that consumers have come to expect, based on these imperatives of security and trust, are fundamental to meeting their evolving digital needs,” said Peter Tilton, the senior vice-president of digital at RBC.
Necessary cookies are absolutely essential for the website to function properly. This category only includes cookies that ensures basic functionalities and security features of the website. These cookies do not store any personal information.
Any cookies that may not be particularly necessary for the website to function and is used specifically to collect user personal data via analytics, ads, other embedded contents are termed as non-necessary cookies. It is mandatory to procure user consent prior to running these cookies on your website.
Due to applicable legal restrictions, you may not access the following content. We apologize for any inconvenience this may cause.
WARNING: THIS SECTION OF THE WEBSITE CONTAINS ANNOUNCEMENTS, DOCUMENTS AND INFORMATION (TOGETHER THE “INFORMATION”), ACCESS TO WHICH MAY BE RESTRICTED UNDER THE SECURITIES LAWS OF CERTAIN JURISDICTIONS. IN PARTICULAR THE INFORMATION IS NOT DIRECTED AT, AND IS NOT ACCESSIBLE BY, PERSONS RESIDENT, OR OTHERWISE LOCATED, IN THE UNITED STATES OF AMERICA OR ANY OTHER JURISDICTION WHERE TO DO SO WOULD CONSTITUTE A VIOLATION OF THE RELEVANT LAWS OR REGULATIONS OF THAT JURISDICTION.
THE INFORMATION IS BEING MADE AVAILABLE BY 3iQ Corp. (“3iQ”) IN GOOD FAITH AND FOR INFORMATION PURPOSES ONLY. THE AVAILABILITY OF THE INFORMATION IS SUBJECT TO THE TERMS AND CONDITIONS SET OUT BELOW.
Please read this notice carefully - it applies to all persons who view this webpage. This notice may be amended or updated by 3iQ from time to time and accordingly it should be read carefully in full each time you wish to view the Information. In addition, the content of the site, and its availability to persons resident in certain jurisdictions, may be amended at any time in whole or in part at the sole discretion of 3iQ.
Basis of access
Please read this notice carefully before clicking “I agree” or “I disagree” below. This notice applies to all persons who view the Information. Access to these materials is being made available on this webpage by 3iQ in good faith and for information purposes only. Any person seeking access to this webpage represents and warrants to 3iQ that they are doing so for information purposes only.
Nothing on, or which can be downloaded from, this webpage constitutes an offer for sale or subscription or any solicitation for any offer to buy of subscribe for any securities in any jurisdiction. Making the Information available does not constitute a recommendation by 3iQ or any other party to sell or buy securities.
Confirmation of representation
Any person seeking access to this webpage certifies that they are not located in the United States of America or any other jurisdiction where the release, publication or distribution of these materials would be unlawful. Any person seeking access to this site confirms that they have read and understood this disclaimer and agree to be bound by its terms.
The information contained on this website does not constitute an offer of securities for sale or a solicitation of an offer to purchase securities in the United States or in any jurisdiction in which such offers or sales are unlawful. The securities referred to herein have not been, and will not be, registered under the U.S. Securities Act of 1933, as amended (the “Securities Act”) or under the applicable securities laws of any state or other jurisdiction in the United States. The securities referred to herein may not be offered, sold, resold, taken up, transferred, delivered or distributed, directly or indirectly, within, into or in the United States or any other jurisdiction if to do so would constitute a violation of the relevant laws of, or require registration of such securities in, the relevant jurisdiction except pursuant to an applicable exemption from, or in a transaction not subject to, the registration requirements of the Securities Act and in compliance with any applicable securities laws of any state or other jurisdiction of the United States. There will be no public offer of securities in the United States.
The materials are only addressed to and directed at persons in Canada.
If you are not permitted to view materials on this website or are in any doubt as to whether you are permitted to view these materials, please exit this website. These materials must not be released or otherwise forwarded, distributed or sent in or into the United States or any jurisdiction in which such offers or sales are unlawful. Persons receiving such documents (including custodians, nominees and trustees) must not distribute or send them in, into or from the United States or any other jurisdiction where to do so would be unlawful.
Acceptance of this notice
To visit the following pages of the site, you must confirm that you have understood the above sentences and agree to comply with the restrictions.
By selecting “I agree” below, you:
confirm that you have read, understood and agree to be bound by the terms of the notice set out above;
warrant and represent that you are not a resident of, or otherwise located in, the United States of America (including its territories and possessions, any state of the United States and the District of Columbia) or any other jurisdiction where accessing the Information would constitute a violation of the relevant laws or regulations of that jurisdiction.
agree that you will not transmit or otherwise send (directly or indirectly) any Information to any person in the United States of America (including its territories and possessions, any state of the United States and the District of Columbia) or any other jurisdiction if to do so would breach any applicable law or regulation; and
confirm that you are not a person to whom the communication of the information contained on the site is restricted and are not acting for the benefit of any such person.