Singaporean banking giant, DBS, approved Bitcoin as the future of cryptocurrency in a 28-page report by the company. In the report, DBS explained the future of crypto and the impact of digital assets on traditional finance. The report also referred to the increasing demand for digital assets and their advantages to holders.
Highlighting the growing global interest in cryptocurrency, the report said:
“Call it speculative, precautionary, or simply a part of portfolio diversification, digital currencies have captured the investor zeitgeist. Ever since the central banks around the world embarked on unprecedented expansion of their balance sheets to combat the COVID-19 pandemic-related economic headwinds, interest in cryptocurrencies, along with gold, has surged.”
Over the years, digital currency has grown from serving individuals to institutional investors. Also, both kinds of investors have moved from seeking anonymity and privacy to seeking convenience and security.
In addition, the report stated the efforts by central banks to offer digital versions of fiat currencies. According to the report, the Bank of International Settlements (BIS) conducted a survey on 66 central banks. Out of the surveyed banks, 80% are currently exploring Central Bank Digital Currencies (CBDCs).
Regardless of the global acceptance of cryptocurrency, the 28-page report concluded that digital assets will survive. Also, its survival will not put an end to the use of other traditional methods.
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