Article: Wall Street banks diverge in views on bitcoin boom

Crypto

Montage of physical bitcoin with data chartWall Street banks diverge in views on bitcoin boom

Bitcoin is dividing opinion on Wall Street, with a rush of investment banks expressing widely divergent views on the cryptocurrency boom.

The rally in bitcoin has been supported by the growing interest from institutional investors. Some companies, prominently including Tesla, have also loaded up. US Federal Reserve chair Jay Powell, meanwhile, said at an event on Monday that crypto assets are more for speculation than for payments.

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Article: Bank of America Sees DeFi ‘Potentially More Disruptive Than Bitcoin’

Blockchain, Crypto

Bank of America Sees DeFi ‘Potentially More Disruptive Than Bitcoin’

DeFi refers to the fast-growing area of automated, blockchain-based trading and lending platforms that might eventually pose a challenge to banks, Wall Street firms and insurance companies. But not now, says the bank.

“Credit creation is one of the key motors of modern finance. As yet, DeFi doesn’t do anything like this,” the report states.

The Bank of America view is very different from last month’s prediction by JPMorgan Chase, the biggest U.S. bank, that rapid advances in digital assets could present an existential threat to traditional financial companies.

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