Dash CEO: Wall Street likely working on crypto-related projects in private
Wall Street is probably working on cryptocurrency solutions, we just don’t know about it yet. Dash CEO Ryan Taylor recently spoke to mediahouse CCN about the use of cryptocurrency and how the traditional financial system is coping with this new phenomenon.
“Wall Street has a tendency to work on major new developments in private, and I suspect many others are working on solutions, even while simultaneously publicly shunning cryptocurrencies,” Taylor opined.
However, Taylor pointed out that Wall Street may not be necessary for cryptocurrencies to gain widespread adoption. “Crypto doesn’t need Wall Street to grow,” he argued, adding that adoption was growing with or without the support of traditional financial institutions.
But he does believe that digital currencies would be much easier to use if they were integrated with traditional financial systems.
Taylor joined Dash Core Group in 2016 and has been CEO of the company since last year. Prior to Dash, he used to work as a hedge fund analyst at a $20 billion investment firm based in New York, which is why he has such insights into the traditional financial world.
The cryptocurrency market recently witnessed a major development with top exchange operator Intercontinental Exchange (ICE), which runs the New York Stock Exchange, announcing that it will soon launch Bakkt – an open and regulated ecosystem for digital assets.
Bakkt will work with various businesses such as BCG, Microsoft and Starbucks to create a platform which will allow users to buy, sell, store and spend virtual currencies on a global network. According to ICE’s announcement, Bakkt’s first use case will be Bitcoin trading.
Regulatory uncertainty - hurdle for cryptocurrencies
The fact that Wall Street is slowly working towards exploring and working with cryptocurrencies has been a win for the crypto community, especially since U.S. Securities and Exchange Commission (SEC) is still taking its time to decide on a Bitcoin ETF.
Taylor believes that uncertainty over regulatory sentiment is what holding back many business from either providing services or accepting payments in digital assets. “Regulators will eventually catch up and provide businesses with the guidance they need to gain comfort with it,” he said.
Even as days go by, more and more banks are increasingly stepping into the space and are exploring ways to use this new financial innovation. Taylor believes this could lead to regulators finally addressing the technology.
“The problem is that regulators tend to focus on institutions, and this was unusually a market that developed from a grassroots movement by regular people, rather than the financial institutions. Regulators got caught on their back heels as a result, but seem to be catching up to the need quickly,” he explained.
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