Bank of America (BofA) has recently published a report outlining the current state of the world’s cryptocurrency industry which has shown to have a larger market value than the GDP of Italy and Canada.
This research report on digital assets is the first assets publication by the bank since its inception.
Bank of America shows how important the crypto market has become. The market valuation of over $2 trillion and more than 200 million global users “is too large to be ignored.”
Crypto is now far beyond bitcoin. Tokens like handling disorganized applications (DApps), stablecoins, central bank digital currencies (CBDCs), and non-fungible tokens (NFTs).
There has been an upward increase in the cryptocurrency market. In this year the digital assets venture, capital investment has now increased nearly 210%, from the $5.5 billion last year to the current record of $17 billion.“Our view is that there could be more opportunity than skeptics expect.”
Bank of America mentioned that it’s possible for 1.7 billion unbanked globally to have access to financial services with their smartphones.
“We expect further value creation as bitcoin is increasingly adopted, alternative coins/tokens enable new applications, and a pipeline of Venture Capital-backed private companies reach public markets.”
The global regulator’s attention was caught by cryptocurrency to the emerging sector. While countries like China have banned digital currency buying and selling in the nation.
The future of the crypto industry lies in the “public policy framework” of governments. Payment systems or credit flow disruption of digital assets may be targeted if they are perceived.
“Regulatory uncertainty is the largest near-term risk in our view, but regulation may drive increased investor participation over the long term once the ‘rules of the road’ for digital assets are established.”
Don’t miss important articles during the week. Subscribe to blockbuild weekly digest for updates.