The former head of the Office of the Comptroller of the Currency (OCC) during the Clinton administration reportedly says that crypto firms competing with banks currently have the advantage. According to a new report by Bloomberg, former Deutsche Bank executive Eugene Ludwig says that crypto firms are barging into territories that are usually reserved for […]
The post Former Deutsche Bank Executive and Ex-OCC Chief Says Crypto Firms Stealing Banks’ Turf: Report appeared first on The Daily Hodl.
New research from the U.S. Federal Reserve offers two scenarios that could lead to the widespread adoption of crypto and decentalized finance (DeFi). In a new report, the Fed says there are two paths forward – one where blockchain finance intertwines with traditional finance, and one where they are separate but parallel. “Broadly speaking, there […]
The post Federal Reserve Researchers Predict Two Adoption Scenarios for Crypto and DeFi in New Report appeared first on The Daily Hodl.
The traditional finance sector will dip its toes into decentralized finance (DeFi) in the next few months, predicts Ki Young Ju, chief executive of on-chain insights platform CryptoQuant. Young Ju tells his 304,800 Twitter followers that stablecoins are leading the way in terms of institutional adoption. As evidence, he points to U.S. Federal Reserve Chair […]
The post Quant Analyst Says Legacy Financial Institutions Are Eyeing One Ethereum-Dominated Sector – Here’s Why appeared first on The Daily Hodl.
A popular crypto analyst is comparing a decentralized crypto exchange (DEX) to traditional finance (TradFi) marketplaces in an effort to calculate its real-world value. The anonymous host of InvestAnswers tells his 443,000 YouTube subscribers that he wants to see how the decentralized finance (DeFi) platform Uniswap (UNI) stacks up against two mainstream stock markets as […]
The post The Future Is Very Bright for This Ethereum-Based DeFi Ecosystem, Says Host of InvestAnswers appeared first on The Daily Hodl.
One crypto veteran says Solana (SOL) is currently going through a similar phase to what Ethereum (ETH) experienced four years ago. Crypto venture fund Variant co-founder Spencer Noon tells his 112,100 Twitter followers Solana’s current issues won’t matter a few years down the road. “It feels to me like SOL is going through a similar […]
The post Crypto Venture Capitalist Says Solana (SOL) Going Through Same Bear Phase As Ethereum (ETH) in 2018 appeared first on The Daily Hodl.
On January 5, the open-source non-custodial decentralized finance (defi) lending platform Aave launched a permissioned version of the protocol aimed at institutions. The platform dubbed Aave Arc will leverage Fireblocks as the first whitelister as the platform aims to help bridge traditional financial institutions with defi. KYC-Centric Defi Liquidity: Aave Launches Aave Arc Permissioned Protocol […]
Bank of England’s deputy governor for financial stability, Sir Jon Cunliffe, has warned that cryptocurrency is getting closer to posing a threat to global financial stability due to the sector’s rapid growth. Crypto is also being integrated into the traditional financial system at a rapid rate. He urges regulators to take action now. Bank of […]
Bank of England's Sir Jon Cunliffe has urged British lawmakers to think “very hard” about the disruption integrating cryptocurrency with traditional finance could wreak.
Sir Jon Cunliffe, the Deputy Governor for Financial Stability at the Bank of England (BoE) crypto may pose an imminent threat to the traditional financial system.
During a Nov. 15 interview with the BBC’s “Today” program, Cunliffe argued that the rapid growth of digital assets and their integration with traditional financial services could soon pose systemic risks, stating:
“[Cryptocurrencies] are growing very fast, and they’re becoming integrated more into what I might call the traditional financial system.”
“So the point at which they pose a risk is getting closer. I think regulators and legislators need to think very hard about that,” he added.
While Cunliffe warned of integrating volatile crypto assets into the mainstream financial system, he dismissed adjacent concerns pertaining to the rise of stablecoins.
“There are proposals for new players who are not banks, including some of the big tech platforms and some of the social media platforms to come into the world and issue their own money,” he said. “I think that those proposals don’t yet exist at scale, so I don’t think we’re behind the curve here.”
The latest comments from Cunliffe come roughly one month after he addressed the Society for Worldwide Interbank Financial Telecommunication on Oct. 13, calling on policymakers to pursue crypto regulation as a “matter of urgency.”
Despite acknowledging that “crypto technologies offer a prospect of radical improvements in financial services.” Cunliffe argued that the sector poses significant risks through price volatility, a lack of consumer protection laws, and the absence of anti-money laundering (AML) provisions in the DeFi sector.
“How large those risks could grow will depend in no small part on the nature and on the speed of the response by regulatory and supervisory authorities,” Cunliffe said.
Related: London assembly member calls for ban on crypto ads in trains and buses
On Nov. 9 Britain’s central bank and Treasury released a joint statement outlining coming research into a central bank digital currency (CBDC) for the U.K market.
The duo will launch a consultation in 2022 to assess the viability of a UK CBDC, explore potential design features, and consider the positive and negative implications of issuing a CBDC.
The BoE added that “no decision” has been made to launch at CBDC at this stage.
On August 4, the precious metals firm Kitco Gold announced the launch of a gold-backed stablecoin which will leverage an audit process via Cohen & Company with monthly attestation reports. Kitco has partnered with Tradewind Markets, First Digital Trust, and Stably, an asset tokenization provider. The gold-backed ERC20 tokens called “kitco gold (KGLD)” “represent one […]