Financial Institutions Need Cryptocurrency Presence

José Viñals – Chairman of the British financial institution Standard Chartered – believes that the cryptocurrency space is an area where every financial institution “needs to be present.” According to him, businesses dealing with digital assets will go through a significant growth period in time.

‘Crypto Is Here to Stay’

In a recent interview for CNBC, the Group Chairman of Standard Chartered – José Viñals – revealed his support for the cryptocurrency industry. He opined that monetary institutions engaged in digital asset endeavors would see “extraordinary development” in the future.

The 67-year-old Spaniard also expects large companies and prominent banks to follow StanChart’s example and jump on the crypto bandwagon in the following weeks:

“The cryptocurrency space is an area where the financial institutions need to be present. We are present. We have recently agreed to start a partnership for a custody venture for crypto assets. Crypto is here to stay.”

Viñals added that companies offering digital asset services need to provide maximum security for investors in terms of financial stability. He also urged for enhanced regulations in the cryptocurrency market.

“It is much better to have a regulated crypto market than having it being the wild west that will have all sort of problems.”

Supervision in the space is essential for another reason. Without it, criminals could employ digital currencies in their illicit activities, the executive added.

StanChart’s Crypto Endeavors

The British multinational banking institution recently joined forces with the financial technology company – Linklogis – to launch a new blockchain-based digital trade finance platform. As CryptoPotato reported, the project would be called Olea. It would aim to bring together “institutional investors seeking opportunities in an alternative asset class.”

Amelia Ng – the CEO of the platform – opined that the collaboration could turn to be highly beneficial for the finance sector:

“By marrying Standard Chartered’s international trade and risk management expertise and unparalleled knowledge of Asia, Africa, and the Middle East with Linklogis’ innovations in supply chain technology, Olea is uniquely positioned to reinvent trade finance and be a force for good.”

StanChart also became the first bank to join the Global Digital Finance (GDF) Patron Board. The union, which has over 100 organizations and 350 professionals as associates, welcomed aboard the British bank at the beginning of September.

The GDF’s mission, together with StanChart, is to support the cryptocurrency industry through a network of strategic innovators. They also work in favor of better governance standards and facilitate engagements between market participants, regulators, and policymakers.

Featured Image Courtesy of Reuters