The crypto industry has found renewed hope in 2024, following the approval of Bitcoin ETFs in January. This has resulted in a surge in market activity, with Bitcoin reaching an all-time high of over $72,000. Additionally, there has been a consistent influx of investment in crypto products over the past six weeks, approaching the record set in 2021. With the upcoming Bitcoin halving and the possibility of looser monetary policies, more institutions are now considering entering the crypto market.
During Cointelegraph’s AMA on March 7, M2 CEO Stefan Kimmel discussed the current state of the market and the features of M2, a comprehensive crypto investment platform for both institutional and retail investors.
Kimmel believes that ETFs play a crucial role in building credibility for institutions. He stated, “In the past, institutions have been skeptical about crypto, which has also deterred other investors. But now, the credibility, sponsorship, and support for crypto have completely changed.” He also predicts that Bitcoin will continue to be the center of attention, thanks to the introduction of ETFs. With less regulatory debate surrounding its classification and lower risks, Bitcoin is seen as a safer option. Kimmel noted that institutional investors are bringing much larger investments to the market compared to retail investors.
Kimmel highlighted the prevalence of large over-the-counter (OTC) trades focused primarily on Bitcoin. He explained that M2 is also observing similar trends, but altcoins are starting to gain momentum. M2’s utility token, MMX, has attracted institutional interest. MMX is primarily used to increase returns within M2’s Earn program. By burning MMX tokens, users can enhance their yields on locked crypto holdings. This burning mechanism also reduces the overall supply of MMX. MMX holders also enjoy benefits such as reduced trading fees, a rewards program, and access to higher tiers in the upcoming payment card program.
M2 aims to empower retail investors by providing user-friendly features. The platform’s flagship product, the Earn program, offers flexible lockup periods and interest earned in the deposited currency, with rates as high as 10.5% for Bitcoin and Ethereum. The program caters to different risk appetites and includes an early redemption option for unexpected needs, albeit with a fee.
As institutional interest in crypto continues to grow, there may be concerns about whether this shift contradicts the core principles of Web3. However, Kimmel argues that M2 welcomes all investors, including SMEs and institutions, to provide trade finance solutions. The platform plans to launch a U.S. dollar-backed stablecoin to simplify payments within the trade finance space.
M2’s roadmap includes plans for crypto lending, additional investment options, and structured products, indicating a clear path for product development throughout the year. Kimmel also revealed upcoming features such as crypto debit cards, a referral program, and expanded language support.
To learn more about M2, visit their website.
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