A group of America’s biggest banks are launching tokenized deposits in order to stave off the threat that stablecoins will poach depositors. Bank of America, Citigroup and JPMorgan Chase are among the 16 major banks that have joined forces with The Clearing House to build a tokenized deposit network to enable 24/7 blockchain-based settlement of bank deposits. Banks have been running scared that depositors will turn to stablecoins like Circle’s USDC and Tether’s USDT instead of bank accounts to save their money, particularly if they are able to earn interest (or yield) on their stablecoin savings. Banks have been working to try and ban such yield offerings. The new initiative…
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Bitcoin bull run ‘unsustainable’ unless volatility decreases: JPMorgan
According to the bank’s strategists Bitcoin’s rise since January ‘appears to have been more influenced by speculative flows’ which could render its price unstable
A team of JPMorgan strategists led by market strategist Nikolaos Panigirtzoglou said that the Bitcoin network’s market value increased by about $700 billion over the last five months despite an institutional capital inflow of only $11 billion.
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‘Bitcoin is better at being gold than gold’: SkyBridge Capital’s Scaramucci
Wall Street Star Anthony Scaramucci also said that if the new digital gold’s market cap reaches just half of old yellow gold’s—about $5 trillion—BTC’s value would increase tenfold
Scaramucci is the latest traditional finance heavyweight to join the ranks of open Bitcoin proponents. As Modern Consensus reported in mid-December, the participation of institutional investors and big-name investors is the main reason why many believe this Bitcoin bull run to be different from the previous ones.
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JPMorgan Chase CEO still isn't a bitcoin fan, but his analysts see it going to $146,000 (Photo: WEF)JPMorgan analysts: Bitcoin will reach $146K, but not soon
The bank predicted that before heading beyond $146,000 Bitcoin would need to significantly decrease its volatility—a process it believes will take years
To do that, it will need to continue attracting large institutional investors. And to do that, Bitcoin would have to become far less volatile than it is now. That’s already happening, the JPMorgan note pointed out, with an analyst suggesting that there’s “little doubt that the institutional flow impulse into Bitcoin is what distinguishes 2020 from 2017.”
