Cryptocurrency Evaluation from Bank of America Executive

Cryptocurrency evaluation came from Bank of America executive. The bank manager said that cryptos can add value to banks.

Tom Montag, the senior operations manager of Bank of America, which is among the banks that are getting closer to the cryptocurrency market every day, spoke at the blockchain data platform Chainalysis event held in New York and attracted attention with his positive statements about cryptocurrencies. Stating that banks should also benefit from the technological developments experienced and that they should not see this situation as a factor that will bring them negativity, Montag said: "Today's technological leap will enable banks to be much more effective. There will be fewer errors in the systems. Therefore, as banks, we need to make the best use of this technology, take advantage of it, and become a part of the system." Asked about lending in exchange for the purchase of cryptocurrencies, Montag explained that they currently even lend in exchange for artwork and railroad cars, but the situation is more stressful in crypto: “We, as a bank, are currently lending even in exchange for artworks, railroad cars, houses and boats. But today you can even lose money if you lend in exchange for stocks. This is nerve-wracking. So if there is less volatility and more stability, the bank will "But before all this happens, of course, some steps will have to be taken in terms of stability." Stating that he believes that a CBDC will eventually be issued in the USA, Bank of America COO emphasized that there are still serious concerns about stablecoins. Montag said: “If the FED had a stablecoin, everyone would be very comfortable. If there was another organization with a stable coin, everyone would be less comfortable with it than the FED. If there is a coin and it is stable, then this It would be good for the situation, the economy, the people and the banks. But that's what I'm worried about… Are stablecoins really stable?" Stating that the cryptocurrency industry is not a competitor to banks, they are assets that people value, Montag said: “I thought and understood why people value cryptocurrencies. The concept of global mobility and global asset custody makes sense. Banks don't need to think much about it. After all, we are talking about assets that are valued by large crowds. Which of the coins is worth how much? "We don't know if it's stable, but I also understand why people want to use them for stability. This may not be clear to Americans because American money is more stable than many countries' currencies, but for many countries, cross-border payments are much more expensive than they seem."