• Wed. Oct 30th, 2024

After Less Than A Year Of Launching Asset Management, Blockchain.com Announces Its Discontinuation

Summer White

BySummer White

Mar 12, 2023

Blockchain.com is known for being one of the oldest entities in the entire cryptocurrency industry. It was back in 2011 when Blockchain.com started to provide its services.

At that time, it was the only platform known for being an explorer of the Bitcoin (BTC) blockchain. The platform did not limit itself to being an explorer but went on to expand its service portfolio.

Over the course of time, Blockchain.com kept on adding more options and services for the benefit of the users. The platform added its own cryptocurrency exchange and different kinds of services related to crypto wallets.

Blockchain.com did not Stop There

According to the market data, Blockchain.com is one of the oldest running platforms as well that has kept expanding in the crypto industry.

The platform has walked shoulder to shoulder with another major exchange known as Kraken, which was launched in 2011 as well.

As time kept passing, Blockchain.com kept expanding its services and platform. It kept on providing more services and options to the users, which is why it became one of the top and most attractive platforms for users.

This is why the platform managed to build a strong user base that is in millions and still growing.

Blockchain.com Tapped into Asset Management

As Blockchain.com kept growing in size and volume, it was only a matter of time before it would expand even more.

In the year 2021, with the great influx of investors into the crypto industry, “asset management” had become one of the most attractive segments within the crypto-verse.

Blockchain.com spent the entire year of 2021 planning what it wanted to offer its users. After an entire year of consideration, Blockchain.com decided and tapped into asset management services in the year 2022.

Unfortunately, the company had spent a lot of time launching an asset management firm because, in the year 2022, the crypto market experienced a significant downturn.

The entire crypto industry entered the crypto winter as the year 2022 began and failed to make it out even when the year had concluded.

Just when things turned for worse for the entire asset management industry, Blockchain.com also find itself facing the same situation and huge losses.

The company failed to win against the year-long market downturn and now, it has decided to make the difficult decision.

Blockchain.com Tried to Upsell their Services

When Blockchain.com launched its asset management firm, BCAM, its overall valuation was almost $14 billion. It was in collaboration with Altis Partners that the firm found its own asset management firm.

At the time of launch, the officials had announced that the service had been launched for institutional investors and individuals with high valuations and net worth.

They claimed that through their asset management firm, the investors could avoid high risks in the trading industry. To upsell their services, they added that they had adopted algorithm-based technology to perform crypto trades.

This way, they were able to provide less risky trading services for cryptocurrencies in a highly professional environment. They offered them several trading options where automated and algorithmic trading were the top picks.

Mission Shared by Chief Strategy officer of Blockchain.com

When the new management firm was launched, Charlie McGarraugh had pitched that their platform was one of the most beneficial opportunities for investors.

Investors from all over the world could interact with their firms to invest in cryptocurrencies and increase their earning opportunities.

Blockchain.com Shuts Down its Asset Management Firm

Turns out, the efforts that the company made did not turn out to be as promising as claimed by the officials. This is because just after 11 months of being life as an asset management firm, Blockchain.com has shut down its services.

Blockchain.com was listed on the register of the UK Companies and has reportedly asked to be struck off from that.

The officials have blamed the demise of their firm on the lack of demand and the crypto winter throughout the year 2022.

As per them, the downtrend is still ongoing and they do not think their firm will perform well in these conditions. Therefore, they have decided to shut down asset management until conditions become favorable.

Summer White

Summer White

Summer White, an esteemed writer for Big Trends Signals, combines her online trading expertise and articulate writing to deliver exhaustive guides and fair reviews, assisting traders in digital markets.

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