Welcome to Crypto Long & Short, your premier institutional newsletter. This week, we delve into the crucial role of investor relations in token performance. Jordan Brewer, investment analyst at Runa Digital Assets, highlights the need for protocols to establish robust investor relations, akin to those found in traditional public markets.
A key component of this is regular investor calls, where management provides forward guidance, as seen in the approaches of Maple Finance and EtherFi. Research demonstrates that consistent guidance and delivery are rewarded by the market, while poor performance can have severe consequences. In a related development, Martin Burgherr, chief clients officer at Sygnum Bank, discusses the significant shift in how institutional capital navigates crypto markets, with major trading firms separating asset custody from execution.
This evolution signals a broader maturation of digital asset market structure, enabling more efficient use of capital and reduced counterparty risk.