According to the results of a recent survey, more than half of the officials at major banks are not looking at cryptocurrency products as a priority in the short-term future.
Is crypto a priority for banks?
The Federal Reserve Board of the United States recently released the results of a survey exploring bank’s expectations for digital products in the future. According to the results, more than 56% of senior financial officers across the surveyed banks noted that they see crypto products, blockchain-based assets, and products related to the distributed ledger technologies as either low priority or not a priority at all in the near-future; for the next two years. 27% of the officials as part of the survey said that see crypto products as medium to high priority in the near future. Of the respondents across 80 banks, approximately 40% said that crypto products were seen as a high priority to introduce for their banks within the next two years.
The report noted that cryptocurrency products were less of a priority in the near future – the next two years. However, when the time period extended to sit between two and five years, the responses were slightly more spread out, with a nearly even split between those seeing crypto as a low priority and those who perceive the introduction of crypto products as a high priority.
Crypto and liquidity management
Most banks also reported to seeing distributed ledger technologies (or crypto-related products) as not being invasive to liquidity management. As per the report:
“When asked about the expected impact of DLT or crypto-related products on their bank’s liquidity management practices in the next 2-5 years and 5-10 years, respondents generally reported that their bank does not see these technologies as having large effects on liquidity management, with most respondents reporting not important to moderately important for both time periods.”