The Bank of England has advised banks on cryptocurrencies. He said banks would have to get used to it.
What will cryptocurrencies mean for banks in the future?
Nowadays, the increase in the number of people who own cryptocurrencies and the number of businesses accepting these currencies brings a necessary transformation. The Bank of England also made recommendations about this transformation in the market.
Cunliffe, the deputy head of the Bank of England, said their job is not to maintain banks’ business models, and that banks will need to adapt. He emphasized that the main job of central banks is to manage macroeconomic and financial results if business models change. Governments around the world should prioritize these digital assets, according to Cunliffe.
Recently, China’s digitalization of its currency Yuan and the increase in interest in cryptocurrencies show that banks should also enter into a sharp digital transformation. However, cryptocurrencies should be seen as a new tool to make life easier, rather than seen as a threat. We can say that in the future, banks will have to adapt to this mandatory transformation.