Bank of America growing fond of crypto

In today’s Newsletter we spoke about the hypocrisy of the IMF and the World Bank, who condemn El Salvador’s decision to accept Bitcoin as a legal tender, in spite of the actual needs of the country.

In the meantime, El Salvador got an unexpected supporter in the form of Bank of America, who actually agreed that crypto is the best strategy for it. In their recent report the bankers highlighted notably that:

• BTC affords much cheaper remittances (25% of EL Salvador’s GDP)
• BTC can help the 70% of unbanked citizens to get financial exposure
• Crypto-friendly stance can help attracting crypto businesses and investments

It would be cool if they added another vital quality of Bitcoin – its scarcity and decreasing emission, which make it even more valuable comparing to the highly inflationary dollar.

We can’t ask too much though, for the world view changes one step at a time, and Bank of America has already made quite a few: it invested into Paxos, blockchain infrastructure firm, approved Bitcoin CME futures trading for some clients and started the clearing and settlement of crypto ETPs for the European hedge funds. A clear crypto strategy is taking shape.