Blockchain analytics company Chainalysis has a report titled The Cryptographic Maturity Model: How Traditional Finances Can Adopt Cryptocurrency in Stages.
Chainalysis notes that over the following year, the cryptocurrency has a “more common” asset class, with institutional cash inlet pushing Bitcoin (BTC) and other virtual currencies at record prices.
Chainalysis also discussed in his report that banking establishments can offer cryptocurrency custody services. The company says it expects more “traditional” monetary establishments to integrate virtual currency into their service offerings for individual and institutional clients.
Chainalysis issues that some banks now have this procedure and have introduced or displayed cryptography programs; however, many others are comparing the market and “thinking about how to produce profits around this kind of emerging asset,” the blockchain company report added.
The report also mentions that this is why Chainalysis has prepared the cryptographic style of adulthood, which is described as a roadmap for monetary establishments to supply cryptography-related products. to assess market opportunities while meeting regulatory and compliance requirements.
Chainalysis notes that banks can “exploit a great opportunity by taking cryptocurrency corporations as customers, but if they do so safely. “According to the blockchain analytics company, threat assessment in cryptocurrencies is “easier than in other industries due to the inherent transparency of maximum blockchain-based assets”.
Chainalysis explains that, unlike the fiduciary currency, maximum cryptocurrency transactions are “recorded in a giant public book”, meaning that with the right tools, banks must monitor cryptocurrency companies’ transactions and “accurately prolong their exposure to illicit activities, ensuring that the visitor adapts to the desired threat profile. “»
Chainalysis’s complete revelation:
“As cryptocurrency becomes increasingly common, banks no longer see it as cash for criminals or seek tactics to ban it. Instead, they recognize the tactics in which it can help its customers while generating profits and seeking to integrate them into while this might seem daunting at first, the cryptographic style of adulthood shows that banks can adopt the cryptocurrency in a structured and progressive way, allowing them to verify their bids at each and every level of the process.
As noted in the report, the key is the appropriate types of products and facilities to expand at each stage. Chainalysis adds that the “inherent transparency of cryptocurrency” facilitates this procedure.
With the right tools, monetary establishments can aggregate transaction knowledge stored in public blockchains (without authorization), see how assets between various portfolios and services work, and use this knowledge to “inform decisions about the applicable maximum rates of cryptocurrency services”. for their desired visitor segments. “
From there, it’s about “hiring the right other people or partnering with the right native cryptographic corporations to create the infrastructure needed for new cryptocurrency offerings,” the report notes.
You can read the full one here.