Will Bitcoin overturn the financial establishment or be embraced by it?

Yakamoto

legendary

Activity: 1218

Merit: 1007

Quote from: James_CRYPTOSTAR.MONEY on April 30, 2019, 05:14:24 AM

This article argues that the recent move by Bakkt and BNY Mellon to create institutional quality custody solutions indicates the future of bitcoin is to be just another asset class.

https://cryptostar.money/blog/cold-storage-and-custody-is-key-to-institutional-adoption-of-crypto

Bitcoin is going to be "embraced" by the existing institutions exactly as the article says. I don't think there will be any kind of crypto "overturning" of the existing systems unless there is suddenly a massive desire for cryptos to overtake the current fiat system by the general population of most countries. Banks will likely prevent this from happening by turning cryptos into assets, ideally to dissuade people from trying to take cryptos on as the primary payment medium. This is furthermore emphasized by the moves of stockbrokers to implement crypto trading markets on their respective platforms. The blockchain tech might be used by banks in the future for some transaction purposes, but I think that's as far as crypto will get within the traditional banking communities.

okala

full member

Activity: 980

Merit: 114

Quote from: dothebeats on April 30, 2019, 08:18:51 AM

This doesn't change one thing, except of course that the participants are known institutionalists and have access to their banker friends should they need the money in an event of a 'hack' or some other 'unforeseen circumstances.' After all they are just another platform out in the open though of course with an already established connections as opposed to their competitors, so yeah, that's about it. As for bitcoin's state currently, aren't the first exchanges already established the fact that bitcoin is another asset class and not Bakkt alone?

I agree with you in which ever ways they can't lose money rather they will gain from any situation, if there is full adoption of cryptocurrency they assets and investment will yield more profits. They are just institutions that have the ear of government and financial system that will allow them to avoid protocols to achieve they aim.

Genemind

sr. member

Activity: 1596

Merit: 335

Financial institutions using cold storage and classifying bitcoin as another asset is still a good thing. It can still contribute to mass awareness, so one-way or another it can still affect cryptocurrency adaptation.

dothebeats

legendary

Activity: 3542

Merit: 1352

Cashback 15%

This doesn't change one thing, except of course that the participants are known institutionalists and have access to their banker friends should they need the money in an event of a 'hack' or some other 'unforeseen circumstances.' After all they are just another platform out in the open though of course with an already established connections as opposed to their competitors, so yeah, that's about it. As for bitcoin's state currently, aren't the first exchanges already established the fact that bitcoin is another asset class and not Bakkt alone?

DooMAD

legendary

Activity: 3934

Merit: 3190

Leave no FUD unchallenged

Once they're up and running, I give it a year before they get hacked. "Secure custody solutions" in crypto are a pipe-dream by people who haven't understood the concept very well. The moment you introduce a custodian, you weaken the security. The only difference between this and all the exchanges that have been repeatedly hacked is that these guys somehow have insurance. All I can say is, whoever is underwriting that insurance is incredibly brave and possibly a little insane. If this is what institutional investment looks like, they're in for a bumpy ride.

Beerwizzard

full member

Activity: 924

Merit: 148

If people want Bitcoin to be traded on the same exchanges with the other assets then they should expect that BTC would also be treated as another asset class. In this case we need to get a larger volume and market cap to make BTC more resilient to price fluctuations. This will boost BTC acceptance more than anything else.

okala

full member

Activity: 980

Merit: 114

It a great development I have always hope for institutional involvement in the storage of private keys which have now which is now on the way to be established, cold storage will enhanced the existence of bitcoin as another assets class just like gold and the rest in it category.

James_CRYPTOSTAR.MONEY

newbie

Activity: 26

Merit: 2

This article argues that the recent move by Bakkt and BNY Mellon to create institutional quality custody solutions indicates the future of bitcoin is to be just another asset class.

https://cryptostar.money/blog/cold-storage-and-custody-is-key-to-institutional-adoption-of-crypto

Topic: Will Bitcoin overturn the financial establishment or be embraced by it? (Read 177 times)