Bank of America: Regulation accelerates institutional adoption of cryptocurrencies

The bankruptcy of cryptocurrency exchange FTX has prompted many governments to increase oversight of the blockchain industry. Regulating the digital asset market not only increases transparency and security, but also accelerates the entry of institutional capital into the cryptosphere, according to a Bank of America report.
While investment funds now predominantly use cryptocurrencies for financial speculation, legalization of the industry will help it mature, and bitcoin and other virtual assets will be more widely used in the real economy.
The report’s authors, Alkesh Shah and Andrew Moss, stressed that the collapse of the FTX exchange and the ensuing market turbulence intensified international cooperation in the area of digital currency controls.

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