![Institutional Investors vs. Retail Investors: The Main Differences](https://www.velocenetwork.com/wp-content/uploads/2024/05/pierre-borthiry-peiobty-vBCVcWUyvyM-unsplash-2-800x500.jpg)
Institutional Investors vs. Retail Investors: The Main Differences
Cryptocurrency adoption is growing, attracting two main types of investors: institutional and retail investors. Institutional investors are large organizations or companies that manage investments on behalf of others, like other businesses or groups. This could include pension funds, banks, mutual funds, hedge funds, endowments, and insurance companies. Together, they shape the institutional adoption of crypto. Their investment decisions are formed by the objectives of the entities they represent. Retail investors, in contrast, are individual people who invest their own money for their own purposes. Thanks to the volume of their transactions, institutional investors operate on a much larger scale and…