According to a new survey from Binance, institutional players with deep pockets believe Bitcoin will maintain its crypto market dominance throughout 2019.
Binance surveyed 41 of its institutional and VIP clients to get a sense of how they expect the marketplace to evolve in the near and long-term future. More than 80% of respondents believe Bitcoin’s dominance will land at 40% or higher by the end of the year. It currently stands at 62%.
Bitcoin Expected Dominance At End of December 2019
The heavy-hitting market players collectively shrugged at recently announced crypto initiatives from private companies, including Facebook’s Libra, JP Morgan’s JPM Coin and Samsung’s crypto-wallet phone, saying none of the initiatives have serious potential to be growth drivers in the industry.
Instead, most of the respondents referred to possible changes in global and local regulations as the biggest potential growth driver for crypto.
“It is worth noting that respondents who ranked regulations as a threat also often rank it as a potential growth driver. Regulation can either assist and foster growth by providing a framework within which crypto projects can work and flourish, or it could stymie growth and development, thus demonstrating the potential large upsides and downsides that regulation has on this space, depending on how it evolves. In general, regulation, both local and global, seems to be the key factor that is widely monitored by the sampled market participants.”
Nearly all of Binance’s respondents reported using stablecoins and more than 80% say they use Tether’s USDT. With Tether embroiled in controversy, however, some respondents indicated they were looking for or using alternatives.
“Among USDT alternatives, USDC appeared (unsurprisingly) particularly popular for non-Chinese clients whereas Chinese clients prefer PAX. However, a few clients indicated that they were currently looking for alternatives for USD Tether (USDT) with similar liquidity profiles.”