SUPPLY CHAIN STRATEGY

Amount stolen in the Wormhole bridge hack, February 2022

A bank offering custody for Bitcoin, Ethereum and Solana must effectively run three distinct systems, each requiring separate security protocols, compliance monitoring and technical expertise.

Scalable solutions remain elusive, though blockchain interoperability projects continue attracting substantial venture funding.

Security concerns extend beyond bridges. While blockchain technology distributes trust, infrastructure services concentrate amongst few providers.

This creates potential single points of failure – a risk traditional finance understands well but which contradicts cryptocurrency’ s decentralised ethos.

What comes next Looking ahead 18 to 24 months, several developments will prove critical. Regulatory clarity in major markets, particularly regarding stablecoin frameworks, will unlock institutional capital currently sidelined by compliance uncertainty. Improved Layer 2 solutions may finally deliver the scalability required for mainstream transaction volumes without compromising security.

For investors, infrastructure providers with regulatory licences and institutional relationships offer more sustainable returns than speculative tokens.

For businesses, improving infrastructure creates opportunities to integrate digital assets into treasury and payment operations – but careful evaluation of provider stability remains essential. The infrastructure being built today, not the tokens being traded, will determine digital assets’ long-term relevance.

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