Featured News Headlines
- 1 Polygon Labs’ Aishwary Gupta on How Institutions Navigate Crypto Market Volatility
- 1.1 From Experimental Phase to Building Real Infrastructure
- 1.2 Institutional Confidence: From BlackRock’s Securitization to In-House Tokenization
- 1.3 Market Stress Is Manageable, But Product Design Matters
- 1.4 Custody Strategies and Controlled Execution Gain Importance
- 1.5 Why This Cycle Could Be Different: A Cautious Yet Optimistic Outlook
- 1.6 Institutions Are Building the Crypto Future
Polygon Labs – Crypto markets have jittery moments, but institutional players are moving from trial to serious tooling, focusing on resilience over speculation.
The global cryptocurrency market continues to swirl with nervous energy, yet beneath the surface lies a structured and maturing ecosystem. With the total crypto market capitalization hovering around $3.81 trillion and daily trading volumes close to $193 billion, major coins like Bitcoin ($113,000), Ethereum ($4,000), XRP ($2.51), and Solana ($195) demonstrate that liquidity and participation still respond pragmatically to market conditions rather than sheer speculation.
Into this charged atmosphere steps Aishwary Gupta, Head of Payments and Real-World Assets (RWAs) at Polygon Labs, shedding light on how institutional investors are evolving from cautious observers to proactive builders of crypto infrastructure.
From Experimental Phase to Building Real Infrastructure
In an exclusive interview with Cryptonews.com, Gupta emphasized that many large investors have moved beyond tentative trial runs into a phase of developing robust programs. These programs span payments, tokenization, and exchange connectivity, reflecting growing institutional conviction.
“First, they were at arm’s length. Now they’re saying, ‘Okay, we want to do it,’” Gupta noted. He highlighted a stark shift from 2021’s hesitant posture to the current landscape where 2025 institutions are actively engaging and deploying real-world projects.
This change is rooted in networks that have weathered past challenges and a newfound diligence that separates hype from delivery. “There is a methodical horizon emerging, not a sprint for quick wins,” Gupta added, pointing to ongoing consultations with European banks and sovereign blockchain infrastructure programs.
Institutional Confidence: From BlackRock’s Securitization to In-House Tokenization
Gupta gave the example of BlackRock, illustrating the shift in institutional strategy. “In 2021, BlackRock preferred investing in external companies and letting them run. Now, they’re moving towards doing things in-house,” he said.
Recent announcements confirm this evolution. BlackRock’s plan to build its own tokenization platform—allowing clients to issue digital money—signals a deeper commitment to integrating blockchain technology into traditional finance workflows.
Market Stress Is Manageable, But Product Design Matters
While mid-October saw a sharp liquidation rush causing market jitters, Gupta contrasted this with the post-FTX collapse freeze when deals stalled and communication lines went dark. “The $19 billion crash after FTX? Nobody is even talking about that now,” he said, underscoring a more resilient institutional environment.
The key risk, according to Gupta, lies not in headline price swings but in the design of balance sheet products. Poorly engineered vehicles and treasury programs can amplify stress by triggering forced sales and draining liquidity, whereas carefully crafted frameworks absorb shocks and maintain stability.
“It depends on how well asset managers have designed their programs,” Gupta explained. “If pressure mounts, those holding significant assets on their balance sheets may be forced to sell, potentially triggering a domino effect across the market.”
Custody Strategies and Controlled Execution Gain Importance
Gupta foresees more intense battles over custody arrangements as institutional players seek to minimize market impact when making large purchases. Specialist desks are stepping in to orchestrate execution, avoiding price slippage in retail venues.
Such strategies align with institutional priorities for controlled, stress-tested systems that operate effectively even in volatile conditions.
Why This Cycle Could Be Different: A Cautious Yet Optimistic Outlook
Contrary to popular narratives about four-year crypto market cycles, Gupta argues that a genuine bear market would only materialize when institutional deals begin to lose money and leak capital.
“Until then, you’re fine,” he reassures. The recent week of volatility hasn’t emptied boardrooms because institutions are actively crafting playbooks, choosing custody paths, and commissioning infrastructure capable of withstanding stress.
This groundwork may well determine whether the current market cycle matures beyond speculative stories and evolves into a sustainable financial ecosystem.
Institutions Are Building the Crypto Future
Aishwary Gupta’s insights reveal a crypto landscape in transition. While retail traders may respond impulsively to headlines, institutional players are methodically constructing the foundations of a new financial era—one where payments, tokenization, and treasury management coexist in resilient frameworks designed for the long haul.
This evolution reflects growing trust in blockchain’s potential to integrate with traditional finance while managing risks with precision. For crypto markets navigating short-term turbulence, it’s a reminder that beneath the surface, serious work is underway.
