Crypto News Flash #253: Cryptocurrency Still Miles Away From 'Store Of Value', says KPMG
Although cryptocurrencies remain the best store of value in past few years when Bitcoin went from $1000 to almost $20000 in a period of mere 1 year, yet some Institutions still believed that Bitcoin or cryptocurrencies, in general, are still far away from store of value.
Among those Institutions, KPMG recently said that Crypto space is miles from when people would use them as a store of value or even as a medium of exchange. Three main reason behind this statement were given by KPMG as follows:
- Lack of trust in digital assets.
- Rampant volatility.
- Scalability issues.
Also, crypto space must be Institutionalized so that more and more people will come to it with more trust and volatility will come down a bit with less scalability issues.
As per the source, KPMG believes that:
KPMG believes that large-scale involvement from banks, payments institutions, FinTech companies, and exchanges are exactly what the crypto-sector requires to better integrate into the current global financial system.
Well, KPMG is not wrong if we look at the broader perspective. Crypto needs some regulations so that more Institutional money comes into the market and thus increasing price of crypto overall.
Crypto ETF decision is sill pending by SEC. Once they get confirmed, we can expect more Institutional money falls into space.
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