Bitcoin Reaches a Record as US

Bitcoin Reaches the price of bitcoin reached a record on Thursday following the announcement of new cryptocurrency projects by two major US financial institutions, bringing digital assets closer to widespread use in ordinary purchases and as investments.

MasterCard said on Wednesday that by the end of this year it will start directly advancing cryptocurrency through its card payment network. Previously, the company had only worked with cryptocurrencies and exchanges to transfer funds once they became digital currency in fiduciary currency.

Bitcoin Reaches a Record

And on Thursday, custody bank BNY Mellon announced that by the end of the year it would offer digital asset custodial services on the same platform that customers use for traditional securities and cash.

The advertisements helped raise the price of one bitcoin above $ 80 for the first time.

Bitcoin Reaches a Record

Whatever your opinion on cryptocurrency….

Raj Dhamodharan / Bitcoin Reaches

Raj Dhamodharan, who runs MasterCard’s digital asset business, wrote on a company blog, “The fact is that these digital assets are becoming a more important part of the payments world.”

However, bitcoin, the most popular cryptocurrency, may not be crossing the MasterCard network in the short term.

The company said that it is the only coin that is stable enough to be a “vehicle expense” and that, like, the focus on currencies backed by “stable fiduciary currency that we believe has the potential to have a greater payment utility.”

Will be concentrated. The blockchain is not associated with any fiduciary currency.

Bitcoin

Last month, Alfred Kelly, chief executive officer of Visa, a rival of MasterCard, stated that “as fixed currencies or any form of cryptocurrency becomes a real means of exchange, there really should be no reason why we should see them in our network.

“But” consumers who have bitcoins are more interested than paying for goods and services to use it. “

Roman Regalman, executive director of BNY’s Asset Services business, said a growing number of institutional investors were interested in cryptocurrency and increasing regulatory clarity on how these digital assets should be treated.

He said, “Imagine a hedge fund that holds 10 percent of its assets in cryptocurrency.”

Today, in fact, they live in two parallel worlds for reporting, accounting and analysis purposes, as well as for their portfolio finance . “These two worlds are not to cut each other. He said, our goal is to bring them closer to our customers.

Bitcoin Reaches

Digital asset manager and broker Crypto Finance board member Mark Bernager said of BNY’s announcement:

“I think this is important news when the oldest bank in the US takes over the digital asset space. More established banks involved in bitcoin. Being there helps the entire industry and reduces entry barriers for investors.

In November, Rick Ridder, director of Global Fixed Income Investments at Blackrock, the world’s largest asset manager, said bitcoin could eventually replace gold in investors’ portfolios.

By Alex Alena

Alex Alena has been the lead news writer at Cryptocurrency Updates. With a degree in communications, Matt has an uncanny ability to make the most complex subject matter easy to understand.