Bloomberg reported this week on two financial traders who left Barclays bank jobs to trade NFTs instead, preferring it to TradFi markets (traditional finance such as Fintech firms and investment banks).
Mike Anderson and Ovie Faruq were FX traders, trading derivatives, high-yield cash and other assets for the bank, before learning about non-fungible tokens and beginning to amass a collection in 2021.
They now reportedly own 70 Bored Ape Yacht Club NFTs, a collection which at today’s floor price of 105 ETH, would be worth in total around $ 25 million.
Since investing in NFTs their phones have been ‘blowing up‘ with questions from other bankers and traders in the traditional financial markets. Anderson commented:
It’s an illiquid market with large price swings, so much of the same discipline and skill around trading high-yield and distressed assets are transferable.
Also at the interview with Bloomberg News, Faruq explained:
In the dot-com bubble you saw 90% of companies go bust, but the 10% that survived are some of the world’s biggest companies. It will be the same for crypto and NFTs, and we’re focused on utilizing our skillset to find the 10%. I’ve also started creating and selling crypto art myself. I used to do a lot of artwork and coding when I was younger, so it’s been nice to rediscover these interests.
More Jobs in NFTs & DeFi
This is just the latest in a long list of examples of professionals leaving jobs at investment banks, law firms, Silicon Valley companies and the like to take on crypto, DeFi (decentralized finance) or NFTs full-time.
The CIO of crypto savings account provider Celsius, Frank van Etten, worked in traditional finance for 20 years before leaving to go full-time crypto. Recently four ex-Facebook developers teamed up to launch a blockchain company.
Hedge fund and Wall Street sources have raised concerns over the ‘brain drain’ the migration from TradFi to DeFi is causing.
The number of US job postings with terms like ‘crypto’ or ‘blockchain tech’ has increased by over 600% according to LinkedIn economic data. Some of those hiring are TradFi institutions themselves such as JPMorgan – trying to stay ahead of the curve and not be left behind.
Cryptoassets are a highly volatile unregulated investment product.