Deutsche Bank AG is a multinational bank based in Frankfurt, Germany, that offers financial and investment services in over 58 countries. They have also been providing services to their customers residing in Europe, America, and Asia.
They released their thoughts about Bitcoin via their Twitter page, declaring that Bitcoin’s market cap makes it difficult to be ignored. However, they think its subsequent evolution to become an asset class or not is still debatable.
Here’s What Analyst Marion Laboure Had To Say
Marion Laboure is a famous analyst and Harvard economist. He shared his own opinion about Bitcoin after considering the market’s behavior. He said that its comparatively low liquidity makes it difficult to decide whether its current status is completely value-based.
He also ascribed the current status of Bitcoin to the Tinkerbell effect. The Tinkerbell effect was coined from the play Peter Pan where the Fairy Tinkerbell existed due to the audience’s belief that she existed. In this context, Analyst Marion Laboure thinks that Bitcoin’s success is a result of the value everyone attaches to it or the value everyone has come to believe it has.
He compared the journey of the leading digital currency to that of Tesla cars saying there were doubts when the Tesla cars were initially created, but the purchase of a few erased the doubt. People began to believe in the product as an advancement to the car industry and modern technology. He says the same thing is happening with Bitcoin as most of the bullish cycles are fueled by large purchases from big firms and corporate investors.
Bank of America’s Stand
The report on Bitcoin released by the bank of America shows that they still do not believe Bitcoin has value. The remarks opposed the view that Bitcoin had any value and the cycles are only being propagated by general interest.
However, Morgan Stanley is set to become the first bank in the United States to offer the wealth management service of BTC funds to its clients.
Bitcoin’s value may remain debatable but what’s not debatable is the fact that a large population believes the coin is worthy of being held as an asset. Whether we blame this on the Tinkerbell effect or not, it does not change the mindset of the people who believe in it.