ZB Academy:JPMorgan Chase recommends investors deploy 1% of their positions in cryptocurrencies

ZB Academy
4 min readFeb 26, 2021


The negative Bitcoin market for the past few days continues, but it does not seem to have affected the investment plans made by many institutions in Bitcoin. From the 24th to the 26th, there are still many organizations that have made positive comments about Bitcoin. According to ZB.com’s official market data, Bitcoin is currently quoted at $47,346, a 24-hour decline of 6.47%, and the 24-hour price range is $46,002 to $51,981.

On the 24th, the well-known business intelligence company MicroStrategy announced that it would once again spend $1.026 billion to purchase 19,452 BTC, with an average price of $52,765 per BTC. Up to now, MicroStrategy holds 90,531 BTC, with an average purchase price of $23,985 per BTC. According to a statement issued by MicroStrategy on February 24, MicroStrategy does not intend to stop investing in Bitcoin in the near future. MicroStrategy CEO Michael Saylor said in a statement that he will continue to pursue the company’s Bitcoin strategy and use excess cash to buy Bitcoin. He said that MicroStrategy may from time to time, depending on market conditions, issue debt or equity securities in financing transactions with the purpose of using the proceeds to buy more bitcoins. He believes that MicroStrategy’s bitcoin strategy, including its holdings of bitcoin-related activities, are complementary to his company’s software business. At the same time, Saylor also said that Bitcoin investment is becoming the focus of corporate attention.

On the 25th, Unchained Capital, a cryptocurrency financial services company, released data. Data shows that in 2017, the supply of bitcoin controlled by bitcoin buyers is increasing. Since the Bitcoin price collapse in March 2020, the percentage of Bitcoin supply purchased by buyers from February 2016 to February 2018 has risen from 5.57% to 13.38%. That is to say, the upward trend of Bitcoin in most of 2019, 2020 and 2021 did not make investors choose to sell the Bitcoin bought during the bull market in 2017.

Also on the 25th, US CNBC host Jim Cramer stated that GameStop should buy Bitcoin. He said, GME to issue $1 billion in stock, the purchase of 10 billion bits coins, and then looked at the stock rises to $430. When Jim Cramer made the remarks, GameStop’s share price soared 100% in late trading. Glenn Hutchins, co-founder of the private equity firm Silver Lake Partners, also made relevant arguments on Bitcoin. He believes that cryptocurrency needs to show consumers a use case, and Bitcoin may be a store of value.

In terms of business dynamics, asset management giant Stone Ridge has included Bitcoin in its diversified alternative investment fund. The crypto hedge fund Arca is launching a bitcoin trust product. The minimum investment products amounted to $25,000, it has so far sold $100,000. Other details such as annual fees have not yet been disclosed.

In addition, the Dubai-based private equity firm IBC Group, which focuses on investing in real estate and technology, has allocated $4.8 billion in Bitcoin for Miami. According to the press release, IBC will use the 100,000 BTC to establish the Miami 2.0 Blockchain Strategic Foundation and support other projects. IBC Chairman Khurram Shroff said: “Making the largest Bitcoin investment in history demonstrates our commitment to assisting cities in adopting blockchain, which is seen as the key to achieving widespread adoption.”

On the evening of the 25th UTC time, strategists such as Joyce Chang and Amy Ho, affiliated with JPMorgan, released a report. According to the report, in a portfolio equipped with multiple assets, investors may be able to deploy 1% of their positions in cryptocurrencies, thereby gaining a risk-adjusted overall portfolio return. However, they also believe that the use of digital currency is limited, so the report said that cryptocurrency is an investment tool, not a financing currency. Therefore, if they consider using currencies to hedge against macro events, they still recommend that investors choose financing currencies such as the yen or the US dollar for hedging.

About ZB Group

ZB Group was founded in 2012 with the goal of providing leadership to the blockchain development space and today manages a network that includes digital assets exchanges, wallets, capital ventures, research institutes, and media. The Group’s flagship platform is ZB.com, the industry leading digital asset exchange. The platform launched in early 2013 and boasts one of the world’s largest trading communities.

ZB Group also includes ZBG the innovative crypto trading platform, and BW.com, the world’s first mining-pool based exchange. Other holdings include wallet leader BitBank.

Industry intelligence and standards are headed by the recently launched ZB Nexus who embody the core values of ZB Group and open-source their reports and analysis for the public.

Learn more about ZB Group by visiting www.zb.com



ZB Academy

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