Big 4 auditor KPMG releases bullish cryptocurrency report

posted 5 months ago
Big 4 auditor KPMG released a 42 page report “Institutionalization of Cryptoassets” revealing their bullish case for cryptocurrencies. Discussing key challenges facing cryptocurrencies, why digital assets are a force to be reckoned with, & the institutionalization of crypto assets. It also explains how & why institutions will enter the cryptocurrency asset class. The report's first segment concludes "Cryptoassets are now impossible to ignore." They cited how Bitcoin is becoming an alternative to traditional wealth storage, how Litecoin has been used to transfer the equivalent of $99 million for less than $1 in transaction fees, & how tokenization has taken the non-digital nature of assets & made them viable in our current digital world.

The report explains the problems in the global financial services ecosystem that cryptoassets are looking to address. Moreover, the authors added that if cryptocurrencies are to succeed as both an asset & tool, they must become easier & more efficient to use than the current financial ecosystem on a large scale. KPMG noted current volatility as a hindrance which will improve as the industry matures.

Coinbase executives Jeff Horowitz, chief compliance officer at Coinbase, & Eric Scro, VP of finance at Coinbase explained the fundamental importance of cryptocurrencies in less developed countries "Argentina... hyperinflation. A globally accessible, decentralized store of value could have a significantly stabilizing impact on the country’s economy. Bitcoin could potentially represent such a store of value in the future." They also said crypto assets will need to be institutionalized to significantly increase their liquidity, utility, & accessibility. They also stated that before institutionalization can happen, regulatory authorities must first step in & seriously consider how cryptocurrencies can play a role in the global accessibility & transparency of the financial ecosystem.
Tags: opinion, news, blockchain, bitcoin