Banks Are Quietly Stacking Sats While Paying Lobbyists to Make Crypto's Life Difficult: Alex Thorn Spills the Tea

Alex Thorn, Head of Research at Galaxy Digital, came through with some unfiltered wisdom on The Wolf Of All Streets, and crypto Twitter is absolutely eating it up.

According to Thorn, global banks are stuck in the classic "Innovator's Dilemma" — simultaneously launching their own crypto custody services and blockchain payment systems while dumping serious cash into Washington lobbyists to build regulatory walls. It's basically the financial equivalent of texting your ex while in a relationship. Chaotic energy, mixed signals, and everyone's confused.

"Banks are currently both building things and obstructing the process through their lobbyists," Thorn said. "This is actually a clever strategy: They are slowing down innovation and buying time to integrate their own products before advanced technologies displace them."

The irony isn't lost on anyone. JPMorgan and Morgan Stanley are out here building on-chain infrastructure while simultaneously backing the very regulatory framework that could choke the industry before it reaches puberty.

Meanwhile, despite Bitcoin holding strong in the $70,000 range, retail investors are feeling more bear market vibes than bull run euphoria. Thorn attributes this to a growing chasm between retail sentiment and institutional activity. While retail is panic-selling and doom-scrolling, institutions are quietly stacking sats like there's no tomorrow. Diamond hands in the boardroom, paper hands on main street.

Perhaps most intriguing? Thorn's bet for the next major catalyst isn't politicians or regulatory clarity — it's autonomous AI agents. Research suggests these digital workers prefer stablecoins for transactions and Bitcoin for long-term storage. Thorn puts it bluntly: "It's very easy to explain to a rational machine why it should prefer a currency that cannot be seized and that has no sovereignty."

Translation: AI might be the biggest whale you haven't been paying attention to. And unlike your Twitterfollows, these whales actually have conviction.

*This is not financial advice. Obviously.