The KPMG company is ready to explore bitcoin
In a four auditor KMPG made some publishments on a 42-page report on the upcoming phase of cryptocurrency. In a report called the Institutionalization of crypto assets, where the report reflects a positive outlook on the viability of crypto economies that scales to its full potential.
In this phase of the cryptocurrency industry developers and crypto, entrepreneurs are focused on adoption and ways of introducing cryptocurrencies to the mainstream applications. These are things like e-commerce, gift cards, point-of-sale devices, and Visa cards. The way crypto is being used now will improve to become a used-as-money tool, as has the Federal Reserve Board’s Balance sheet is over $300 trillion in global asset markets today.
The chief economist at KPMG, Constance Hunter mentioned that:
“Crytoassets have potential. But for them to realize this potential, institutionalization is needed. Institutionalization is the at-scale participation in the crypto market of banks, broker-dealers, exchanges, payment providers, fin tech, and other entities in the global financial service ecosystem. We believe this is a necessary next step for crypto to create trust and scale.”
The crypto community thinks that Tokenization will become a big key role in the blockchain space as it will disrupt the existing financial system as it is today. Driving a wide range of utility for cryptocurrencies. He also stated that:
“In the case of Bitcoin, we believe what has been tokenized is an intangible asset (a specific number of units of Bitcoin), because ownership does not come with any other rights and obligations. in contract, other crypto assets, such as tokens or coins in an initial coin offering. may convey specific utility or financial characteristics, such as rights to goods or services or a share of profits of a company or project.”
Blockchain technology to tokenization of assets
The tokenization of traditional assets can also help to increase the liquidity in the markets together with the rules and regulations applied while increasing the transparency issues. According to Coinbase executive Jeff Horowitz, Eric Scro, Chief compliance officer, and vice president of finance have marked some evolutionary stages for crypto. In an interview was said that:
“Coinbase believe crypto will mature in three stages: investment/speculation (which the industry is currently in), Institutionalization, and utility. The institutionalization and utility phase may happen concurrently. But, to move from investment/speculation to utility, crypto needs to become more liquid, accessible and trusted with users.”
At the moment there are still no concrete landscapes in the regulation of cryptos. In the report was said that patchwork of U.S. federal and state regulations to the crypto industry will need entrepreneurs to work their way through a lot of agencies.
“Regulations are working to keep pace with crypto innovation while seeking to protect the investing public. Crypto business will need to clearly state and federal regulatory landscapes. It is in a crypto organizations best interest to get ahead of the evolving regulatory landscape, and we are already seeing organizations take this proactive approach.”
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