Cryptocurrencies and the metaverse are decentralized without the need for a central authority, and banks are generally regarded as the number one public enemy when it comes to cryptocurrencies.
But as the reach of Crypto and Web3 grows, the appeal of the metaverse is becoming more attractive to banks. We have also seen some banks stepping into this space as regulations are opening up all over the world.
The Metaverse is gaining momentum among developers and gamers, but banking institutions also want to be part of it.
HSBC has entered the sandbox metaverse by acquiring LAND, an important event for Web3. As one of the world’s largest financial institutions, HSBC’s move certainly benefits Web3, but of course, HSBC recognizes the potential his Web3 has.
Speaking of movement HSBC former CMO Suresh Balaji said that in entering the Web3 space, HSBC sees “huge potential to create new experiences” and “opens up a world of opportunities” for its customers.
JP Morgan gives no edge to rivals as American banking giant flagged sandbox metaverse rival Decentraland.They created a virtual lounge in one of the malls there Did.
The Lounge is the perfect place to learn all about the Metaverse and keep abreast of upcoming JP Morgan projects. Exploring educational resources keeps users on top of what’s happening in this dynamic space.
With big banks buying virtual land and taking a social approach to these projects, it’s sure to be an exciting development for those who enjoy interacting virtually.
Banks Are New to Investing in the Crypto Space
Many believe that banks will not touch the metaverse or cryptocurrencies with bargepoles, but nothing is farther from the truth.
In fact, some of the world’s largest banks invested a lot in a blockchain-related company. Morgan Stanley, Goldman Sachs, BNY Mellon, Commonwealth Bank of Australia and Citigroup are some of the investors actively investing in the large round.
Notably, Morgan Stanley has invested $1.1 billion in five rounds, Goldman Sachs has invested $698 million, and BNY Mellon has pledged a total of $690 million.
And while banks cannot yet hold Bitcoin or other cryptocurrencies on their balance sheets, custody solutions and technology providers are blockchain companies that are attracting top banking institutions. NYDIG raised him a whopping $1 billion and Fireblocks raised him $550 million. Additionally, Gemini earned his $400 million and Anchorage Digital completed his $350 million funding round.
When banks want a piece of the action, you know you have something alluring. I didn’t even consider new clients with business.
The regulations are still vague, but they are clearer than ever. Banks cannot yet store or hold cryptocurrencies on their balance sheets, but they are investing in blockchain companies that do.
And now they’re investing in two of the metaverse’s biggest virtual world assets. And this is just the beginning.
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