The CEO of Gustodia and Crypto Long Caitlin Crypto Figure has questioned the preparation of traditional financing companies for their very first winter Crypto. Speaking with CNBC on Friday at Wyoming Blockchain Symposium 2025, he has long stressed that if Wall Street’s growing participation has fueled the current market cycle, its inherited systems and its risk models can be inadequate when the inevitable refers from the bear market.
Wall Street Titans may not be ready for a slowdown in the crypto market – Gustodia Boss
By answering a question on the importance of institutional participation in the cryptography market, has long been contrasting the first days of the crypto, when retail and base participants worked to extend decentralization and secure networks like Bitcoin and Ethereum, with a landscape of today dominated by institutional finance. According to the founder of Gustodia, the cycle is now largely motivated by the Titans of Wall Street who build financial packaging, derivatives and treasury vouchers around digital assets.
In particular, institutional participation in Crypto has reached records in recent years. The FNB Bitcoin Spot, launched at the start of last year, were the greatest success of Tradfi’s digital assets, with $ 53.80 billion in cumulative entries. Meanwhile, the ETF ETHEREUM ETF are starting to take momentum, recording $ 8.20 billion since the beginning of July.
Although this influx has undoubtedly brought credibility and capital to the sector, has long warned that the traditional play books of these institutions are not adapted to assets with a finished supply, for example, Bitcoin. The former CEO of Morgan Stanley and CEO said:
…. They (tradfi) are perfectly at ease to take more leverage than you would do with a finished supply asset, because they have all these mechanisms to bail them into the supply of an asset. They have a reduction window. They have defective tolerances integrated into the securities system so that if the books do not balance it, it’s okay. They can always go the next day and get market actions the next day.
On the other hand, Crypto works in real time without external stamps. Caitlin Long explains that this structural difference could leave the commercial companies on display if they try to apply conventional leverage and coverage strategies to a market that behaves quite differently. Having attended several cycles of arrow and Boust since 2012, the owner of the goalkeeper has expressed his certainty that another slowdown will occur despite the remarkable growth of the market in the current cycle, and wonders if the traditional actors will be able to resist its impact.
Presentation of the cryptography market
At the time of writing the editorial staff, the Crypto Ceiling of the Total Market is estimated at 3.95 billions of dollars, following a minor drop of 0.94% in the last day.
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