Thread by @MichaelKitces

Summarizing wrap-up of my session at #BitcoinForAdvisors w/ @TR401 since we were running tight on time at the end with all the great questions... (1/?)

#FinTech & #FinServ innovation will continue to aid 'holding' problem of how advisors can integrate cryptoassets to their systems. Starting point is being able to aggregate held-away crypto for tracking/reporting, which EVERY advisor should want to do. #BitcoinForAdvisors (2/?)

As holistic advice starts w/ clear view of everything, & platforms like @Onrampinvest are solving for the unique account-agg issues to pull cryptoasset data into existing systems. (Assuming client relationship si strong enough that they WILL share?) #BitcoinForAdvisors (3/?)

Advisor investing into cryptoassets (w/ advisor scale and efficiency) I anticipate is much more likely to happen in ETF or SMA format than trading on crypto platforms. Most won't trade individual coins anyway. Will prefer more diversified baskets. #BitcoinForAdvisors (4/?)

Using "traditional" #FinServ platforms for crypto - e.g., ETFs and SMAs - also relieves a non-trivial amount of the regulatory fear for advisors (fits traditional systems) and the crypto custody/theft fears of clients. #BitcoinForAdvisors (5/?)

However, that's not open license for asset managers to just stream out crypto ETFs and SMAs. Costs matter, & I'm very concerned about how they'll be priced, both in upfront fees & underlying costs structure to gain exposures. #BitcoinForAdvisors (6/?)

Even then - per my comments at #BitcoinForAdvisors - I still struggle w/ the underlying investment thesis, why this is an asset class that goes up for any reason other than "lots of other $$$ are flowing in, so the price 'must' rise". That's speculating, not investing. (7/?)

Still, that doesn't mean advisors shouldn't be open the door to a cryptoasset conversation w/ clients, if only to understand whether they're already active there on their own. You can ask & understand even if you don't advise & recommend. #BitcoinForAdvisors (8/?)

Irony of it all is that crypto was supposed to be a great disruptor of #FinServ, but in practice is gaining traction by growing institutional adoption & fitting 'traditional' #FinServ systems (including advisor tech & platforms). #BitcoinForAdvisors (9/?)

But as cryptoassets gain traction & client awareness, it's escalating to the point that advisors can't ignore from an education perspective. We can't research every 'thing' clients get pitched, but crypto has crossed the education threshold at least. #BitcoinForAdvisors (10/?)

Appreciate @TR401 willingness to have me out at the #BitcoinForAdvisors event to share a more skeptical view around cryptoasset investing for fiduciary advisors. I'm not 'sold' yet, but maintain an open mind as the crypto space itself evolves. (/end)