HOME CATEGORIES WRITE AND EARN 🔍
CATEGORIES WRITE AND EARN MORE

CRYPTO NEWS

Your favorite crypto news blog

Bankers Might Not be as Clueless on Crypto as You Think, Says Analyst

Crypto 2019/11/29 21:00 by Rick D.

Cryptocurrency naysayers associated with global finance may not be as misinformed about the industry as some observers might like to think. One popular analyst says those he encounters have researched crypto assets and often provide well-reasoned criticism.

However, others disagree, saying that there is a divide in the banking industry between those that don’t get it and are interested to know more and those that don’t get it and don’t want anything to do with it.

Bankers a Mix of Ignorant, Dismissive, Interested, and Critical of Crypto

Thanks to outbursts like those of JP Morgan CEO Jamie Dimon and billionaire investor Warren Buffet over the years, there seems to be a widespread belief around the crypto asset industry that people affiliated with the existing financial system are completely clueless about crypto. Dimon famously called Bitcoin a “fraud” without really saying why in September 2017 and Buffet later called it “rat poison squared” in a similarly amusing rant.

Such outlandish statements have been the subject of much ridicule and speculation in the crypto industry. Just how much research are they based on though? If they’re informed, are these and similar attacks based on a fear of an alternative system rendering the institutions they uphold obsolete, or do they have genuine criticisms? Of course, a lot of people like to stick with the assumption that bankers are just ignorant or stupid.

Crypto market analyst and partner at Castle Island Ventures Nic Carter believes that the banking industry is more informed than is popularly thought when it comes to crypto assets. In a recent post to Twitter, he describes his own interactions with bankers, saying that they have generally “done their homework”:

Carter outlines some of the more convincing critiques he’s heard of a tokenised financial system in a subsequent post:

“- bearer style assets are user hostile and wont catch on

– conflating settlement and payments is bad news

– final settlement not required for payments

– hard to financialize something which resists regulation”.

However, others argue that the popular conception of bankers still holds some truth. Founder of DTAP Capital and Bitcoin proponent Dan Tapiero says he is yet to find much of merit in the banker critiques of crypto assets or decentralised finance that he’s heard.

Supporting Tapiero is Swiss crypto think tank 2B4CH founder Yves BennaĂŻm. He describes his own experience with bankers after learning that most of Carter’s interactions with the banking industry have been in a “crypto context”. He argues that in both a crypto and non-crypto context, bankers he’s spoken to have been “almost completely ignorant” and either “optimistic” or “dismissive” respectfully.

It would be naive to think that no bankers had read up on decentralised finance and crypto assets. Yet, it’s also clear that there remains a lot of cluelessness around the topics in the banking industry. Some intrigued bankers, like those referenced by BennaĂŻm seem optimistic about the two industries coexisting. Meanwhile, many of cryptocurrency’s staunchest proponents are waiting for the days when digital asset and decentralised finance has completely replaced the current system.

 

Related Reading: DeFi Don’t Care: Ethereum Investing Reaches Record Levels

Featured Image from Shutterstock.

The post Bankers Might Not be as Clueless on Crypto as You Think, Says Analyst appeared first on NewsBTC.

0 Like(s)



You should also read...

Crypto 01/12/19 18:31 by Kevin Helms
Swiss Licensed Crypto Bank Expanding Into 9 Markets
A fully operational crypto-focused bank based in Switzerland is expanding into nine other markets. With a banking and securities dealer license from the Swiss Financial Market Supervisory Authority, i...
Read More
Altcoins 11/12/19 20:30 by Graham Smith
BRD’s Adam Traidman on New Products, Crypto Adoption, and Banking the Unbanked Into 2020
Breadwallet, later known as Bread, and now just as BRD, was the first crypto wallet in the App Store in 2014. Its non-custodial, open source and user-friendly nature saw it become very popular, now w...
Read More
Altcoins 30/07/20 23:00 by Tony Spilotro
How the Ethereum-Based Ampleforth’s 50% Crash Shows DeFi Investing Risks
The DeFi craze may have finally gone too far, leading investors into disaster as some top industry analysts had forewarned. Ampleforth, an altcoin that recently flash pumped by over 700,000%, just col...
Read More
Altcoins 31/07/20 21:00 by Tony Spilotro
Analyst: Watch Which Altcoins Hold Against Bitcoin For Surprising Springboard Recovery
The top two crypto asset by market cap Bitcoin and Ethereum pumping so hard has left the rest of the crypto market in its dust. Even DeFi tokens that had once been hot to trot have plummeted in the wa...
Read More
Crypto 11/03/21 11:00 by Guest Author
Crypto Loans Continues to Evolve with DeFi as Lendefi makes Undercollateralized Borrowing Possible
The cryptocurrency industry has evolved gradually over time, giving rise to a whole new industry segment, better known as DeFi – short for Decentralized Finance. With the implementation of smart...
Read More