Wall Street Continues Its Blockchain Expansion
As global financial powerhouses increasingly immerse themselves in the blockchain sphere, bankers are actively pushing for the reformation of US legislation!
A year ago, in the winter of 2023, we reflected on the World Economic Forum (WEF) forecasts regarding the cryptocurrency industry's fate. Despite globalists labeling the market situation as beyond a crypto winter, into an ice age, they were convinced that the world should move past the era of massive cryptocurrency speculation to welcome responsible and significant players. They advised keeping an eye on major traditional financial institutions, predicting that their interest in blockchain and cryptography experiments would intensify despite public crypto criticism.
The review of 2023 proved globalists were on point. Bloomberg reported that no less than 11 of the world's most significant financial corporations integrated blockchain into their operational processes.
Highlight examples include:
While Franklin Templeton has ventured into the trending market of spot Bitcoin ETFs, its executives previously described Bitcoin as the “greatest distraction from one of the greatest disruptions in financial services, which is blockchain.”
- JPMorgan Chase introduced its stablecoin, JPM Coin, and tokenized shares for one of its funds.
- Societe Generale-FORGE (a fully integrated subsidiary of Societe Generale Group, which ranks within the big four French banks), launched a euro-backed stablecoin;
- Franklin Templeton, managing $1.5 trillion in assets, unveiled a tokenized money market fund on the Stellar blockchain.
While Franklin Templeton has ventured into the trending market of spot Bitcoin ETFs, its executives previously described Bitcoin as the “greatest distraction from one of the greatest disruptions in financial services, which is blockchain.”
There's much truth in this assessment: as of now, traditional financial institutes merely use blockchain as an advanced software variant, targeting further operational optimization, cost reduction, etc.
What we care about at Goldman is obviously the application layer, which is driving value for ourselves and our clients,stated Oli Harris, Head of Digital Assets at Goldman Sachs.
The complete blockchain overhaul of the current financial system is hampered by the imperfections in legislative frameworks. For instance, in early February 2024, U.S. Congressman Mike Flood and Democratic Rep. Wiley Nickel suggested the Senate repeal an SEC circular that restricted financial institutions from offering custodial services to digital asset investors. Furthermore, they argued the SEC ratified the document without properly notifying market participants and gathering feedback.
Gary Gensler and the Security and Exchange Commission continue to overstep their authority… I’m proud to lead this bipartisan… pushing back against the SEC’s untenable approach on digital assets. I’ll continue to work in a bipartisan way to ensure that banks can safely hold digital assets for investors,Wiley Nickel stated.
Consequently, current lobbying efforts appear focused on dismantling legal obstacles to further the "cryptocurrization" of TradFi. If successful, bankers will soon have legitimate grounds to fully participate in the ongoing blockchain revolution, which will undoubtedly become more efficient with their involvement.
