A new age of banking is imminent. Legacy models will be forced to follow suit or become obsolete in the eyes of value holders worldwide, as new bitcoin and crypto services take over, seeking to implement blockchain systems with an eye on convenience and financial inclusion. Announcements of stablecoins and exchange services from giants Binance, Coinbase, and others, signal the age of the ‘Bitcoin Bank’ is just beginning. Whether this shift brings about the immense positive change it promises, or simply becomes a new centrally regulated banking system with competing digital monies, the transition is nevertheless underway.
Overview of Trends
On a global scale, a few basic trends are emerging rapidly where crypto exchanges and banking are concerned. The proliferation of crypto/fiat on and off-ramps, ever wider arrays of crypto financial services, and development of competing stablecoins are being witnessed more than ever. Major players seek to secure market capitalization in the context of security-oriented, compliance-based crypto competition which fosters financial inclusion.
Binance Announces New Stablecoin Project
On Monday, Binance announced “plans to initiate an open blockchain project, Venus, an initiative to develop localized stablecoins and digital assets pegged to fiat currencies across the globe.” The $1 billion+ daily trading volume behemoth is supporting over 150 cryptocurrencies and already actively involved in stablecoin development “including a BTC-pegged stablecoin (BTCB) and the Binance BGBP Stable Coin (BGBP) pegged to the British Pound.”
The Chinese version of the announcement stressed the need to embrace change, and for groups like itself and Libra to be developed in an “orderly manner” under regulatory guidelines.