Bitcoin and banks should work together

In this technologically advanced age, openness and inclusion is key for growth and success

In a discussion about future relationships for Bitcoin within the banking world, Patrick Murck, general counsel at Bitcoin, expresses the need for openness within the financial industry. This digital currency, which started in 2008 for bank sidestepped, peer-to-peer transfer of funds, is now valued at $1.5 billion with 13 million Bitcoin ‘addresses’ listed as having received monies in Bitcoins.

The nature of the currency has characterized it as a system that works beyond and without the constraints of banks, for people who are “un-banked” or “under-banked” but recently, a call for greater regulation has emerged and instead of backing away, Bitcoin are looking towards banks as potential partners to help them iron out their regulatory weaknesses and bring the two worlds together. According to Murck: “It would also benefit the Bitcoin ecosystem and the under-banked populations of the world that struggle to engage with traditional banking.”

He also expressed that banks, too, could benefit from the relationship: “Opening a Bitcoin account at your local bank would be the perfect win-win situation for banks entering the system and becoming innovative.” He suggests that Bitcoin is not going away and traditional financial systems should Leverage Leverage In financial trading, leverage is a loan supplied by a broker, which facilitates a trader in being able to control a relatively large amount of money with a significantly lesser initial investment. Leverage therefore allows traders to make a much greater return on investment compared to trading without any leverage. Traders seek to make a profit from movements in financial markets, such as stocks and currencies.Trading without any leverage would greatly diminish the potential rewards, so traders In financial trading, leverage is a loan supplied by a broker, which facilitates a trader in being able to control a relatively large amount of money with a significantly lesser initial investment. Leverage therefore allows traders to make a much greater return on investment compared to trading without any leverage. Traders seek to make a profit from movements in financial markets, such as stocks and currencies.Trading without any leverage would greatly diminish the potential rewards, so traders Read this Term the changes. The strides that Bitcoin has made on the Internet, with un-banked consumers being included in e-commerce, is valuable for banks in same way that Regulation Regulation Like any other industry with a high net worth, the financial services industry is tightly regulated to help curb illicit behavior and manipulation. Each asset class has its own set of protocols put in place to combat their respective forms of abuse.In the foreign exchange space, regulation is assumed by authorities in multiple jurisdictions, though ultimately lacking a binding international order. Who are the Industry’s Leading Regulators?Regulators such as the UK’s Financial Conduct Authority ( Like any other industry with a high net worth, the financial services industry is tightly regulated to help curb illicit behavior and manipulation. Each asset class has its own set of protocols put in place to combat their respective forms of abuse.In the foreign exchange space, regulation is assumed by authorities in multiple jurisdictions, though ultimately lacking a binding international order. Who are the Industry’s Leading Regulators?Regulators such as the UK’s Financial Conduct Authority ( Read this Term is key to Bitcoin's future.