Digital Assets in Institutional Finance: How to Prepare for the Future
Digital Assets in Institutional Finance: How to Prepare for the Future

Digital Assets in Institutional Finance: How to Prepare for the Future

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Diverging Reports Breakdown

Growing enthusiasm and adoption of digital assets

The way forward for traditional financial services firms (TradFi) and digital natives will look different both in challenges and opportunities. For digital natives, this is a time to double-down on investments and extend their lead launching new products, entering new markets and fortifying operations. For TradFi firms, it is time to define a coherent digital asset strategy, building on decades of experience providing banking, wealth & asset management.

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Charting a new digital asset future

Overall, 2025 is setting up as a pivotal year for crypto as a foundational asset class. But the way forward for traditional financial services firms (TradFi) and digital natives will look different both in challenges and opportunities. For digital natives, this is a time to double-down on investments and extend their lead launching new products, entering new markets, fortifying operations, and improving the customer experience. This is also a time to consider partnerships and decide if acquiring or being acquired is the right approach to accelerate growth. Where TradFi firms are hardened experts in compliance and governance, this is a time where digital natives must put the infrastructure pieces in place to support growth. They must fortify their technology foundation and resiliency, shore up risk frameworks and prepare for crypto to go mainstream, building the level of governance and compliance necessary to compete and stay on the right side of regulations.

For TradFi firms, it is a time to define a coherent digital asset strategy, building on decades of experience providing banking, wealth & asset management, and payments services. For example, the repeal of the Securities & Exchange Commission’s SAB 121 at the outset of the new administration opens opportunities for TradFi firms to service existing client needs for digital assets with greater continuity with existing banking and wealth management services. Regulatory clarity globally will also play a role for TradFi firms opening new opportunities to compete globally. We expect the custody conversations to help catalyze strategy development and companies will grapple with critical questions around risk management, build vs. buy, or whether to partner for new capabilities.

With investors surveyed seeing cryptocurrencies as the biggest opportunity to deliver risk-adjusted returns over the next three years, 2025 will be an exciting year for growth in the digital asset ecosystem. The industry is more resilient, enthusiasm is high, and a friendly administration has declared an intent to make the US the capital of the crypto world. Investors expect the conditions to be right to increase allocations, expand participation in innovations around tokenization and stablecoins and see DeFi as a place to seek return.

Source: Ey.com | View original article

How regulatory shifts are redefining the future of banking and crypto

The US Office of the Comptroller of the Currency (OCC) recently lifted key restrictions on banks engaging with crypto. This is a major turning point in the relationship between traditional finance and digital assets. While regulatory clarity makes it easier to enter the crypto space, the responsibility to maintain stringent compliance standards remains. Banks accustomed to traditional anti-money laundering (AML) frameworks must now adapt to the nuances of crypto-related financial crime. Elliptic, a leader in blockchain analytics and financial crime compliance, plays a pivotal role in ensuring institutions can safely engage with digital assets, such as stablecoin issuance, custody solutions, global payments, and asset tokenisation. The company’s report identifies three primary drivers of institutional adoption of digital assets: regulatory clarity, institutional adoption, and advanced compliance capabilities. The report also highlights the growing maturity of the crypto sector, which reflects the growing efforts to prevent illicit activity and foster a more secure digital asset ecosystem. It is poised to be a transformative year for digital assets in 2025.

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Credit: Mark Van Scyoc / Shutterstock

The US Office of the Comptroller of the Currency (OCC) recently lifted key restrictions on banks engaging with crypto, marking a major turning point in the relationship between traditional finance and digital assets. With this decision, banks can now explore a wide range of crypto services, including stablecoin issuance, custody solutions, global payments, and asset tokenisation, without requiring prior approval. Banking has opened up a crypto future.

Liat Shetret, director of Global Policy and Regulation at Elliptic, believes that for banks, this shift is both an opportunity and a challenge.

While regulatory clarity makes it easier to enter the crypto space, the responsibility to maintain stringent compliance standards remains. “This move is a clear signal that crypto is no longer a niche asset class but increasingly a mainstream financial prospect,” says Shetret.

Shetret highlights that while some banks are still hesitant, those that act swiftly and wisely can gain a competitive advantage. “This decision doesn’t just open doors; it accelerates the race for institutions to capture the crypto market,” she explains. “Those who move quickly and wisely will be poised for long-term success.”

The Compliance Challenge for Banks Entering Crypto

As financial institutions venture into digital assets, compliance emerges as the foremost challenge. Banks accustomed to traditional anti-money laundering (AML) frameworks must now adapt to the nuances of crypto-related financial crime.

“Instead of waiting for issues to arise, banks should focus on real-time compliance to catch risks early,” Shetret advises.

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She emphasises that robust monitoring systems are crucial. “By setting up strong monitoring systems, they can – and should – prevent problems before they escalate and avoid costly damage control later,” she says. Financial crime risks in the crypto space differ from those in fiat transactions, making it essential for institutions to integrate specialised compliance solutions, such as blockchain analytics.

Global Regulatory Trends: A Shift Towards Clarity

The OCC’s decision reflects a broader global trend of regulators moving toward structured and well-defined digital asset policies. While Asia-Pacific (APAC) has led with experimental regulatory sandboxes, European regulators have prioritised public consultations and structured adaptation periods. In the US, the shift marks a transition from an enforcement-heavy approach to a more supportive regulatory framework.

“As regulators around the world gain more understanding of digital assets and their risks, they will likely adopt similar approaches to the OCC,” Shetret notes. “Providing more clarity and enabling financial institutions to engage with crypto in a more structured and regulated manner.”

This evolution presents banks with an opportunity to confidently expand into digital assets, provided they have the right compliance frameworks in place.

Elliptic’s Role: Enabling Safe Crypto Integration

As banks navigate this new terrain, compliance and risk management solutions are indispensable. Elliptic, a leader in blockchain analytics and financial crime compliance, plays a pivotal role in ensuring institutions can safely engage with digital assets.

“Our solutions allow banks to monitor transactions in real time, conduct thorough due diligence, and manage counterpart risks as well as sanctions evasion and money laundering,” Shetret explains. “By providing deep insights into blockchain activity, we enable banks to confidently onboard crypto businesses, conduct forensic investigations, and ensure their crypto services align with traditional financial crime controls.”

For banks hesitant to enter the digital asset space, leveraging such technology offers a way to mitigate risks while capitalising on emerging opportunities.

Regulatory Enforcement and Industry Maturity

High-profile regulatory actions, such as the takedown of Garantex, demonstrate the increasing sophistication of crypto compliance efforts. “The takedown of Garantex highlights the growing sophistication of regulatory efforts to ensure that crypto exchanges operate within legal frameworks,” says Shetret.

This case, she notes, reflects the evolving maturity of the crypto sector. Exchanges, law enforcement agencies, and compliance firms are working together to prevent illicit activity and foster a more secure digital asset ecosystem. “With the right compliance measures in place, bad actors can be identified and shut down, allowing the industry to flourish in a safer and more secure environment for everyone,” she underlines.

Key Trends Driving Crypto Adoption in 2025

Looking ahead, 2025 is poised to be a transformative year for digital assets. Elliptic’s State of Crypto 2025 report identifies three primary drivers of change: regulatory clarity, institutional adoption, and advanced compliance capabilities.

Shetret explains, “As we see with the OCC’s recent shift in stance, regulators are becoming more supportive of digital assets, providing a positive signal, one that institutions have been waiting for. This has sparked increased interest from financial institutions looking to engage with the digital asset space, with 77% of them seeing a strong business case for doing so.”

Simultaneously, compliance technology is evolving rapidly. Advanced blockchain analytics tools are enabling financial institutions to monitor digital asset transactions with greater precision, reducing risks while enhancing security.

She further adds: “These advancements, coupled with growing customer demand for crypto services, are propelling the industry into a new era. 2025 will be pivotal because we’re witnessing the crypto economy moving from the fringes to becoming an integral part of mainstream financial services, driving both innovation and the need for robust compliance.”

Preparing for the Future of Digital Assets

For financial institutions, the time to act is now. “Financial institutions should be taking proactive steps now to ensure they’re ready for the future of crypto regulation and innovation,” Shetret advises.

She recommends three key strategies:

Invest in Compliance Frameworks: Institutions must integrate robust compliance measures tailored for digital assets to stay ahead of evolving regulations.

Educate Teams and Customers: Raising awareness about crypto-related risks and opportunities will help financial institutions adapt to increasing demand.

Form Strategic Partnerships: Collaborating with crypto businesses and compliance providers will accelerate banks’ ability to offer services such as custody, stablecoins, and cross-border payments.

“The key is to start small, manage risks carefully, and stay agile as the regulatory environment continues to evolve. By doing this now, institutions can position themselves at the forefront of the digital asset revolution, ready to capitalise on new opportunities as the market matures,” she shares.

The Future of Banking, Crypto and Digital Assets

Over the next five years, Shetret predicts that the relationship between traditional banks and digital assets will deepen, transitioning from cautious exploration to widespread adoption.

“As regulatory clarity continues to improve, more banks will recognise the value of digital assets, not just as an investment or speculative opportunity, but as a core component of their financial services offerings,” she explains. “We’ll see more banks offering crypto-related products like custody services, stablecoins, and payments, while also leveraging blockchain for efficiency in areas including cross-border transactions and asset tokenisation.”

The collaboration between banks, fintechs, and regulators will strengthen, fostering a more dynamic and integrated financial ecosystem. “Traditional banks will increasingly rely on advanced compliance tools to manage risks and stay compliant,” Shetret adds. “This shift will create a more dynamic and integrated financial ecosystem, where digital assets are as much a part of the mainstream as traditional currencies.”

The OCC’s recent decision to lift barriers for banks engaging with crypto is just one piece of a larger global movement toward regulatory clarity and institutional adoption of digital assets. As banks navigate this evolving landscape, those that invest in compliance and innovation today will be best positioned to thrive in the future.

With the expertise of compliance partners like Elliptic, financial institutions can confidently integrate digital assets into their offerings while maintaining the highest standards of security and regulatory adherence.

As Shetret puts it: “By doing this now, institutions can position themselves at the forefront of the digital asset revolution, ready to capitalise on new opportunities as the market matures.”

Source: Privatebankerinternational.com | View original article

Max Avery Reacts to Ripple and BCG Tokenization Whitepaper Highlighting the Shift in How Value Transfers Will Reshape Global Financial Systems

The tokenization of financial assets has the potential to revolutionize value transmission in global markets. A report by Ripple and Boston Consulting Group predicts that tokenized real-world assets will rise from $0.6 trillion in 2025 to $18.9 trillion by 2033. This is a substantial shift from static, paper-based systems to dynamic, software-driven ones, marking a major advancement in programmable finance and digital asset infrastructure. The winners of the next decade will be those who adapt early, embrace interoperability, and position themselves at the center of a truly digital financial future, according to Ripple and BCG. The use of tokenized assets will increase across industries as regulatory frameworks develop, the report says. It is anticipated that nearly 80% of financial firms will engage with tokenized infrastructure by 2027.

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The tokenization of financial assets has the potential to revolutionize value transmission in global markets, as noted by Ripple and Boston Consulting Group (BCG) in their groundbreaking whitepaper, Approaching the Tokenization Tipping Point. The report’s bold forecast that tokenized real-world assets will rise from $0.6 trillion in 2025 to $18.9 trillion by 2033 was echoed by Max Avery. This is a substantial shift from static, paper-based systems to dynamic, software-driven ones, marking a major advancement in programmable finance and digital asset infrastructure.

Tokenization Is Set to Overhaul Legacy Financial Infrastructure

The whitepaper asserts that today’s financial systems, built on outdated technology, cannot meet the speed, transparency, or scalability that modern finance demands. Avery echoed this, noting how the tokenization of financial assets will create fast, automated, and interoperable networks. Ripple and BCG describe this as a re-architecture of global finance, where bonds, equities, and funds become programmable, tradable, and accessible around the clock. This transformation will empower institutional investors and enable real-time capital mobility.

It is anticipated that the use of tokenized assets will increase across industries as regulatory frameworks develop. The analysis projects that tokenized real-world assets would rise at a compound annual growth rate of 53% due to developments in blockchain platforms such as Ripple XRP Ledger. These systems are already being used by institutional investors to lower expenses, enhance compliance, and boost liquidity. Programmable contracts and frictionless, digital settlement are the way of the future for value exchange; these represent a significant departure from the disjointed, sluggish systems of today.

Why Programmable Finance Is Gaining Institutional Momentum

Max Avery emphasized that programmable finance goes beyond digital representation—it brings automation and intelligence into how assets behave. Ripple and BCG argue that programmable assets can reduce risks and simplify compliance through built-in logic and smart contracts. Additionally, tokenized assets improve access, allowing a wider range of participants to engage in fractional investment and global trade.

Early signs of this shift are visible as pilot programs expand across capital markets. Tokenized treasuries, real estate, and tokenized commodities are entering regulated environments. Real-world assets are being digitized, secured, and traded using blockchain rails. The paper suggests that within a few years, most institutional portfolios will feature tokenized instruments. This shift reflects not just new technology, but a new financial philosophy rooted in transparency, speed, and programmable trust.

Adoption of Tokenization Will Accelerate by 2027

Ripple and BCG expect nearly 80% of financial firms to engage with tokenized infrastructure by 2027. Avery points out that as this adoption unfolds, existing barriers like liquidity fragmentation and delayed settlement will be resolved. The tokenization of financial assets will soon be standard practice, not just an experiment. Ripple’s scalable blockchain tools and global partnerships place it at the forefront of this transformation.

What’s Next: Institutional Investors Must Prepare for Digital Asset Integration

The rise of tokenization of financial assets will redefine finance as we know it. With real-world assets becoming programmable, banks and institutions need to invest now in blockchain infrastructure, smart contract development, and compliance frameworks. As Ripple and BCG show, this isn’t just innovation, it’s infrastructure. The winners of the next decade will be those who adapt early, embrace interoperability, and position themselves at the center of a truly digital financial future.

Source: Coinfomania.com | View original article

Digital Assets Break Out

Banks, asset managers, and corporates push crypto and digital currencies into the mainstream amid shifting financial dynamics. The largest bank in Italy, Intesa Sanpaolo, quietly purchased $1 million worth of bitcoin in early January. Pension funds, too, are “dipping their toes into buying bitcoin,” The Financial Times reported in January, “a sign that even typically staid corners of finance are finding it hard to ignore the potential outsized returns from cryptocurrencies.” In early March, the US established a Strategic Bitcoin Reserve, and many individual US states, most notably Texas, could soon have bitcoin reserves of their own. In the US, stablecoin legislation moved out of a key Senate committee with bipartisan support in mid-March and passage is soon expected. The legislation sets clear rules for stablecoin issuers, requiring full reserve backing and compliance with anti-money laundering laws to safeguard consumers and reinforce the US dollar’s global standing. In Germany, for example, we have recently partnered with DekaBank to offer crypto trading to institutional clients.

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Banks, asset managers, and corporates push crypto and digital currencies into the mainstream amid shifting financial dynamics.

The largest bank in Italy, Intesa Sanpaolo, quietly purchased $1 million worth of bitcoin in early January. The move was not publicly disclosed; it surfaced in an internal bank memo. When pressed by reporters, CEO Carlo Messina described the purchase as merely a “test,” suggesting that Intesa may eventually acquire more bitcoin on behalf of some of its wealthy clients.

It could be a harbinger of things to come.

After years of keeping their distance, movers and shakers in the traditional financial world appear ready to play ball when it comes to cryptocurrencies and stablecoins. (Stablecoins are a type of cryptocurrency designed to maintain a stable value over time; they are typically pegged 1:1 to the value of traditional currencies like the US dollar or the euro.)

“The financial services industry is on the verge of entering the crypto economy,” Fortune reported Bank of America CEO Brian Moynihan saying in February. And in March, Fidelity Investments, one of the world’s largest asset managers, was reported to be in advanced testing of its own stablecoin.

Competitive pressure and the need for a fast time to market are key drivers—fueled by rising demand from clients, including corporates, and by a shifting macroeconomic backdrop marked by Trump-era tariff threats and doubts about the global dollar system’s resilience. Together, these forces are pushing banks and asset managers to hedge geopolitical risk and tap new revenue streams through digital assets.

The Intesa purchase was made through Boerse Stuttgart Digital, which recently became Europe’s first regulated exchange for trading digital assets under the EU’s new Markets in Crypto Assets Regulation (MiCA) framework. The exchange is a unit of venerable Boerse Stuttgart Group, Europe’s sixth-largest exchange group.

“Institutional adoption of crypto assets is gaining momentum across Europe,” observes Joaquín Sastre Ibáñez, chief revenue officer at Boerse Stuttgart Digital. He expects other European banks and institutional investors to follow Intesa’s footsteps.

“In Germany, for example, we have recently partnered with DekaBank to offer crypto trading to institutional clients,” Sastre Ibáñez notes. Many financial institutions had been waiting for a clear regulatory framework before introducing crypto offerings to their customers, which MiCA now provides.

It’s not just in Europe that the crypto temperature is rising. In early March, the US established a Strategic Bitcoin Reserve, and many individual US states, most notably Texas, could soon have bitcoin reserves of their own. Pension funds, too, are “dipping their toes into buying bitcoin,” The Financial Times reported in January, including funds in the UK and Australia, “a sign that even typically staid corners of finance are finding it hard to ignore the potential outsized returns from cryptocurrencies.”

In the US, stablecoin legislation moved out of a key Senate committee with bipartisan support in mid-March and passage is soon expected. The legislation sets clear rules for stablecoin issuers, requiring full reserve backing and compliance with anti-money laundering laws to safeguard consumers and reinforce the US dollar’s global standing. Stablecoins often act as a bridge between crypto and national currencies; they share the same underlying blockchain technology as tokens like bitcoin and Ethereum.

“The US’s pro-crypto stance is reshaping the global financial landscape by integrating digital assets into the mainstream economic agenda,” says Federico Brokate, head of US Business at 21Shares, a cryptocurrency exchange-traded fund (ETF) provider based in Switzerland.

The creation of the US Strategic Bitcoin Reserve along with the US Digital Asset Stockpile, consisting of tokens other than bitcoin, marks a significant shift in institutional perception, he adds, “positioning cryptocurrencies as essential financial instruments rather than speculative assets. This move not only signals long-term confidence in digital assets but also sets a precedent for other nations.”

“Digital assets are here to stay, as convergence of traditional and digital finance advances.”

Joaquin Sastre Ibanez, Boerse Stuttgart Digital

Two major pension funds in the US have already made significant investments in spot bitcoin ETFs: The State of Michigan Department of the Treasury and the State of Wisconsin Investment Board. The latter has committed more than $300 million to IBIT, BlackRock’s spot bitcoin ETF.

“We expect this trend to continue among pensions as regulatory clarity continues to progress in the US,” says Brokate. Institutional interest extends to other regions as well, he adds; Abu Dhabi’s Sovereign Wealth Fund has invested more than $450 million in IBIT.

The Future Of Money

Simon McLoughlin, CEO of UPHOLD, a cryptocurrency trading platform, sees stablecoins in particular as playing a key role in transforming global finance. “Stablecoins are the future of money,” he says, “so much so, in fact, that in 10 years’ time, we won’t even refer to stablecoins. They will just be money.”

Simon McLoughlin, CEO, UPHOLD

“Stablecoin issuance has grown rapidly in recent years and become a significant part of the financial system,” S&P Global Ratings concluded in a February report. “Stablecoins could enable smoother transactions, faster settlements, and lower costs for cross-border payments—especially in areas that lack access to traditional banking infrastructure.”

Indeed, stablecoin market capitalization reached $230 billion in mid-March, up 56% from a year earlier; analysts at Bernstein predict market cap could exceed $500 billion by yearend.

Fintechs like Tether (USDT) and Circle (USDC) are pioneering the issuance of stablecoins, but other issuers may soon jump in.

“There will be stablecoins run by municipalities, businesses, and other organizations,” McLoughlin predicts. “But most importantly of all, there will be stablecoins issued directly by banks. We will have branded money.”

CFOs may have to adjust their thinking accordingly, he adds.

“CFOs need to start preparing now for a future where some of the functions of corporate treasury and international accounting are fulfilled on the blockchain,” McLoughlin said. When it comes to international payments, for instance, “if one of your rivals is using stablecoins to move money around the world and your business is not, you will be at a distinct disadvantage.”

Are Institutions Making Crypto Safer?

What about cryptocurrencies proper, like bitcoin? Unlike stablecoins, their market prices have always been volatile. But as more traditional financial firms embrace the crypto economy, those wild price gyrations may flatten out, anticipates Geoff Kendrick, global head of digital assets research at Standard Chartered.

“Institutional buyers are less likely to sell on bad days than are leveraged retail buyers,” he says.

Moreover, custody solutions from traditional financial institutions like BNY Mellon or State Street could make storing crypto easier and more secure than current offerings by crypto-focused fintechs. Regulatory clarity in places like the US, too, could lead to less volatility while helping to “remove FTX issues,” says Kendrick, referring to the market-roiling collapse of the Bahamas-based cryptocurrency exchange in November 2022.

More institutions are interested today in both selling crypto to retail clients and diversification for their own corporate treasuries, says Boerse Stuttgart Digital’s Sastre Ibáñez. His group is partnering with Germany’s DZ Bank, for instance, to offer its retail clients direct access to crypto trading and custody.

If cryptocurrencies become less volatile, more pension funds and insurance companies could dive in, too. In December, one of Australia’s largest superannuation fund providers, AMP Limited, made a A$27 million ($16.4 million) investment in bitcoin futures, which CIO Anna Shelley described in a commentary on AMP’s website as a “cautious step” into bitcoin futures for members. Bitcoin could potentially be used as an alternative store of value to gold, she wrote, on the negative side, bitcoin “offers no yield.”

Still, many of Australia’s super funds—a category that includes pension funds—“already invest in many assets that have no yield,” Shelley noted in her commentary, “such as foreign currencies, derivatives and commodities, and even some listed companies [that] make no profit and deliver no dividends.”

Blue-Sky Speculation And Counterparty Risks

Some partisans set crypto’s sights even higher; one day, they say, central banks might invest in cryptocurrencies for diversification.

“Central banks considering investing in bitcoin could be emboldened by the fact the US government is going to at least hold on to the 270,000 bitcoins it currently owns, and potentially buy more at some stage,” Kendrick wrote in a January note, as reported by The Wall Street Journal.

Elsewhere, Aleš Michl, who heads the Czech National Bank, told The Financial Times in January that he would present a plan to his board to invest in bitcoin as a way to diversify the central bank’s reserves.

This proposal drew a flutter of scornful reactions. “Michl is mixing up the role of a central banker with that of a portfolio manager,” Elias Haddad, senior market strategist at Brown Brothers Harriman, told Bloomberg.

Indeed, some of this blue-sky speculation may not be accounting for all the risks.

“Stablecoins, issued by private entities, can fail like banks, risking de-pegging,” says Hanna Halaburda, associate professor at New York University’s Stern School of Business. Then, too, stablecoins are traded on blockchain networks, “offering decentralization and programmability but facing congestion risks and high costs.”

In addition, she notes, stablecoins have limited practical use in the US and some other countries where “traditional banking services are already efficient and reliable.” The largest demand for US-denominated stablecoins is overseas, “particularly in regions with unstable currencies or costly financial infrastructure.”

In many African countries, for example, “stablecoins provide a way to hold digital dollars, preserving purchasing power in economies plagued by inflation,” Halaburda notes. “They are also widely used for cross-border transactions, offering a faster and often cheaper alternative to traditional remittance services.”

But if a US central bank digital currency (CBDC)—a digital dollar—were ever made accessible internationally, that “could potentially serve these roles even more effectively,” she adds.

CBDCs vs Stablecoins

CBDCs are not cryptocurrencies, of course, but they are digital money like stablecoins: and the two may be in competition. Facebook’s Libra stablecoin, announced back in 2019, spurred digital currency awareness among central banks. The project was later abandoned, but as of February 2025, 134 countries and currency unions, representing 98% of global GDP, were exploring a CBDC, according to the Atlantic Council’s Central Bank Digital Currency Tracker.

CBDCs remain controversial, however, particularly in Western countries, where they come freighted with privacy questions. In January, an executive order by President Trump banned research and development for a US CBDC.

Trump’s rejection of a digital dollar, and his embrace of stablecoins, appears to have spurred the EU to speed up implementation of its own CBDC project. European Central Bank President Christine Lagarde said recently that Europe needs to push fast on the digital euro.

“Accelerating its implementation suggests that [EU] policymakers see strategic value in a CBDC, particularly in a rapidly evolving global financial landscape,” says Annabelle Rau, an associate at McDermott Will & Emery in Germany. “However, its success will depend on striking the right balance between innovation, privacy, and financial stability.”

The EU has set a high standard for privacy with its General Data Protection Regulation, Rau notes. “Nonetheless, public trust will be crucial, and addressing concerns around data access, anonymity, and surveillance risks will require clear legal safeguards and transparent communication from policymakers.”

Stablecoins and CBDCs might eventually co-exist, although the importance of their role could vary from country to country, Halaburda suggests.

“China favors state-controlled rails and discourages blockchain-based finance, making the digital yuan likely to prevail,” Halaburda says. “The EU is regulating stablecoins under MiCA while taking a cautious approach to the digital euro, allowing both to coexist. In the US, stablecoins thrive in the absence of a CBDC, though pending regulations could either strengthen their role or constrain them in favor of a digital dollar.”

Here To Stay?

Whether it be cryptocurrencies, stablecoins, or central bank digital currencies, a consensus appears to be forming that “digital assets are here to stay, with mainstream adoption accelerating as the convergence of traditional and digital finance advances every day,” Boerse Stuttgart Digital’s Sastre Ibáñez says. If so, “corporate CFOs should be aware of the growing importance and adapt by integrating digital assets into their financial strategies while ensuring compliance with evolving regulations.”

Fundamental challenges remain, particularly in governance, risk management, and regulatory oversight. “While some convergence is taking place, particularly in areas such as digital securities and asset tokenization, it is likely that elements of both [crypto and traditional currency] systems will continue to coexist rather than fully merge in the near future,” says Rau.

McLoughlin, at UPHOLD, remains buoyant. Consider only the trillions of dollars locked up in banks today to facilitate international transactions, he argues. Indeed, $10 trillion are held in nostro/vostro accounts globally, according to a December report from Bitso Business. “Imagine,” McLoughlin suggests, “what we could do if those funds were available to power growth instead.”

Source: Gfmag.com | View original article

World Computer Summit 2025 to commemorate the 4th anniversary of ICP launch, held in Zurich on June 3

The World Computer Summit 2025 (WCS 2025) will be held in Zurich, Switzerland on June 3. The summit is drawing attention as a large-scale international event that goes beyond web2 and web3 to encompass finance, government, and the entire technology industry. The event will be enriched with the participation of Swiss and European government agencies, BEEAH Group from the Middle East, Paxos, ETH AI Center, BCG, major Swiss financial institutions, and global VCs. Official event information and registration can be found on the next-generation Internet (ICP) website. The session “AI Innovation: The 21st Century Space Race” will focus on the global competition surrounding AI technology leadership.

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PRESS RELEASE | The World Computer Summit 2025 (WCS 2025), a global event celebrating the 4th anniversary of the launch of the Internet Computer (ICP), will be held in Zurich, Switzerland on June 3.

This is a press release submitted to BitPinas.

This summit is drawing attention as a large-scale international event that goes beyond web2 and web3 to encompass finance, government, and the entire technology industry, with global leaders, major organizations, and large corporations who will lead the next-generation Internet innovation gathering in one place.

WCS 2025 will discuss in depth how new technologies are changing industry and society, with AI, web3, and the “Self-Writing Internet” as its core themes. Although it will only last one day, the world’s top experts and organizations will gather together to present a specific vision on how to prepare for the next-generation Internet era.

Key speakers include Dominic Williams, founder of Internet Computer (ICP) and leader in decentralized internet innovation; Catherine Chen, Head of VIP & Institutional at Binance; Ronit Ghosé, Head of Global Financial Futures at Citi; Ross Perot Jr., Chairman of Perot Companies and Hillwood; Michael Casey, President of The Decentralized AI Society; and Dr. Katrin Eggenberger, Director of ETH AI Center, Rulematch, and Deon Digital.

In addition, the event will be enriched with the participation of Swiss and European government agencies, BEEAH Group from the Middle East, Paxos, ETH AI Center, BCG, major Swiss financial institutions, and global VCs.

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The agenda is also diverse and rich. The session “The Age of Digital-Colonialism: How Technology is Shaping Geopolitics” will diagnose the global technology hegemony competition, and “Sovereignty & Data Ownership in Security Infrastructure” will discuss data sovereignty and security infrastructure innovation.

In addition, “Smart Cities & Sustainable Infrastructure” will present the direction of building sustainable future cities, and “Digital Assets and Beyond” will deeply discuss the expansion potential of the digital asset market and new financial infrastructure. The session “AI Innovation: The 21st Century Space Race” will focus on the global competition surrounding AI technology leadership.

WCS 2025 is considered the best place for web2 companies, web3 projects, global financial institutions, and investors to prepare for the next-generation Internet era and explore new collaboration opportunities. Official event information and registration can be found on the Internet Computer (ICP) website.

In the coming era of digital transformation, the World Computer Summit 2025 will be a special time to create a wave of innovation with global leaders who will lead the future.

Date: June 3, 2025

Location: Zurich, Switzerland

Website: http://worldcomputer.com/wcs25

Register now: http://lu.ma/wcs25

Learn more: https://internetcomputer.org/

This is a press release submitted to and published by BitPinas: World Computer Summit 2025 to commemorate the 4th anniversary of ICP launch, held in Zurich on June 3

What else is happening in Crypto Philippines and beyond?

Source: Bitpinas.com | View original article

Source: https://www.advisorhub.com/resources/digital-assets-in-institutional-finance-how-to-prepare-for-the-future/

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