HSBC Global Head of Digital Says the Bank Is ‘Cautiously Looking’ at Crypto Investment
From Cointelegraph
Global Head of Digital at HSBC, Josh Bottomley, said that the bank is “cautiously looking” at cryptocurrency use cases, Forbes reported July 19.Read more: https://cointelegraph.com/news/hsbc-global-head-of-digital-says-the-bank-is-cautiously-looking-at-crypto-investmentIn an interview with Forbes, Bottomley said that HSBC is “cautiously looking into this area [cryptocurrencies],” when asked about the bank’s approach to the crypto. Bottomley further explained that “there’s a use case when you have a token or currency that’s actually useful for a particular purpose, and it serves that need. But that is very different to if it’s pure speculation.” Bottomley added, “Right now we’re not interested in that at all.”
Bottomley said that at present, the bank “[doesn’t] believe broadly” that cryptocurrencies are a genuine investment asset, but that may change. He said:
“One of the criteria we use is if an asset class is showing incredible volatility up and down. For the vast majority of our customers, that makes it an inappropriate saving or investment vehicle.”
An HSBC spokesperson told Forbes that the bank “does not trade cryptocurrencies nor do we process payments denominated in virtual or cryptocurrencies.”
While HSBC remains wary of cryptocurrencies, like many other major financial institutions, it has been testing the potential of crypto’s underlying blockchain technology in a variety of applications.
Earlier this month, European blockchain trading platform we.trade, of which HSBC is a founding member, completed its first live operations. We.trade, which uses IBM’s Blockchain Platform and is powered by Hyperledger Fabric, is comprised of five major banks and 20 companies.
Is it too early to be optimistic about the markets? It feels like this could be the bull breakout where the institutional players start coming onboard driving it up even further. We've seen plenty of bull traps before though. I'm keeping my fingers crossed that the institutional players are now coming on board and this is the start of an epic bull rally.
Leave your thoughts in the comments below.
Follow @contentjunkie to stay up to date on more great posts like this one.
Click one of the links below to signup for a free crypto trading account
You got a 7.05% upvote from @postpromoter courtesy of @contentjunkie!
Want to promote your posts too? Check out the Steem Bot Tracker website for more info. If you would like to support the development of @postpromoter and the bot tracker please vote for @yabapmatt for witness!