- Stash CEO expressed his belief that it is a good time for retail traders to get into the market.
- Krieg has confidence in the long-term viability of the asset class.
- Altcoins like Ether, XRP, Cardano continue to falter.
Stash has recently created an option for their users, retail traders, to gain exposure to crypto. The CEO explained the rationale behind the move in a recent interview.
Now Is The Perfect Time
In an interview with CNBC SquawkBox, Stash CEO, Brandon Krieg revealed his position. “For crypto exposure for our customers, we think it’s the perfect time for retail investors to start getting exposure to some cryptocurrency,” said Krieg. He noted that he understood that most investors were yet to understand the market and revealed that their goal was to simplify the process and allow Americans to put small amounts at intervals into the nascent market.
When asked about the timing, Kreig explained that Stash, which is a company focused on building wealth for the average American, is focused more on the long-term. He added that they are not “market timers.” Kreig noted that he understood that traders may be struggling to decide where to enter or leave the market, but that the firm was focused more on investment.
Kreig revealed that the company’s “investment thesis” made them positive about Bitcoin and Ethereum in the long term, the two options they had opened up to consumers. From their research, Stash has formed the opinion that crypto should make up a “core part of the portfolio,” which he later clarified to be “4% to 6%” of the portfolio, dependent on the customer’s “risk profile,” he said.
At the time, Bitcoin evangelist and head of analysis firm MicroStrategy, Michael Saylor, also expressed similar opinions. Saylor expressed his belief that it was also the perfect time for curious institutional investors.
“I feel like it’s consolidating at this level. This is a great entry point for institutional investors. I talk to high net-worth individuals, family offices, public company executives, private company owners and they watched Bitcoin run-up in 2021.”
The Slump
Over the last week, the market correction was steeper as blood flowed through crypto streets. Bitcoin fell below the $40,000 price mark for the first time in weeks and plunged deeper to reach lows of $35,000. The market appears to be general bearish, with Ethereum, Cardano, and XRP notching monumental declines.
In his interview with Bloomberg, Michael Saylor said that the continued regulatory uncertainty was certainly a factor that was causing some market anxiety, coupled with volatility-inducing leverage in the DeFi space.
“I think that there’s a lot of dynamics here. If you look at the entire crypto ecosystem, you have a set of regulatory uncertainty, especially regulatory uncertainty around stablecoins and crypto tokens and whether or not they’re securities. And that creates a little bit of anxiety.”
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