According to a report issued by an American multinational investment firm, cryptocurrencies are already a big universe that cannot be ignored.
As indicated by its study published yesterday, one of the top international banks, BoA, is already looking into the crypto market.
The cryptocurrency world is already quite huge and cannot be ignored, according to Bank of America’s 140-page analysis, with a market value of $2 trillion and 200 million users.
Although BoA recognizes the importance of the cryptocurrency Bitcoin, which has the largest market value, the bank believes that the ecosystem of digital assets is far more intriguing, particularly because of DApps, Stablecoins, CBDC, and NFT.
Bank of America selected the NFT as mentioned above and Decentralized apps (DApps) as the most significant advances in the document. The most significant benefit of the DeFi ecosystem, according to the bank, is the ability to use financial products and services without the involvement of traditional financial institutions.
According to the American bank, NFTs are altering how musicians communicate with their audience and how they get compensated for their work. According to BoA, NFT sales surpassed $3 billion in August, a significant rise from the 250 million units sold in 2020.
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.
Finally, we’d like to provide a remark from BoA regarding regulation and how it might affect future investment in this sector.
With total assets of $2,820 trillion and more than 200,000 employees globally, Bank of America is ranked eighth among the world’s top 100 banks.