US bankers warn against cryptocurrency

The heads of several leading US banks have issued a warning in a statement on cryptocurrency transactions, which was published on Wednesday before their planned speeches in the Senate committee.

The words of Bank of America’s Brian Moynihan, Citigroup’s Jane Ein Fraser s Wells Fargo’s Charles Scharf as US financial regulators try to respond to explosive growth և dizziness instability – a crypto market that does not currently have a dominant national controller.

Financial groups are also under pressure from consumers – companies that want to act – regulators who are openly concerned about a trading environment that “could benefit from greater investor protection,” according to Gary Gensler, chairman of the Securities and Exchange Commission. Commission:

Moynihan hinted at the difficulties of CFOs, saying that BofA kept its distance from the business of bitcoin և its siblings, even as it continued to “assess the capabilities, services, risks” and demand for cryptocurrency-related products. »:

“Currently we do not lend against cryptocurrencies, we are not banking companies whose main activity is cryptocurrency or cryptocurrency trading facilitating investments,” he said.

Moynihan added that although his bank has more than 60 patents relating to blockchain, the technology of password coupon books, “we have not yet found a case for large-scale use.”

Fraser says Citigroup is taking a “measured approach” as it seeks to “understand changes in digital asset space, the use of distributed booklet technology, including demand and interest from our customers, regulatory developments and technological advances.”

“Before dealing with cryptocurrencies,” he said, “we consider it our responsibility to have clear governance and control.”

Scharf said Wales was close to announcing a pilot project that uses blockchain technology to “complete internal transfers of cross-border payment books across our global branch network.”

But it was as far as he went. He said. “We continue to closely and actively pursue developments around cryptocurrencies that have emerged as alternative investment commodities, although their status as a currency-payment mechanism remains fluid.”

The three bankers were to be joined before the Senate Banking Committee by JPMorgan Chase CEO Jam Amy Dimon, Goldman Sachs’ David Solomon and Morgan Stanley’s James Ames Gorman.

The committee, led by Ohio Democrat Sherod Brown, called the bankers to the annual audits of Wall Street firms.

The Council was particularly interested in the response of large banks to the epidemic, in their efforts to promote diversity in their ranks, and in wider social and economic justice.

Source link

Related Articles

Leave a Reply

Your email address will not be published. Required fields are marked *

Back to top button