FinTech Magazine March 2025 | Page 130

DIGITAL BANKING

REGULATORY EVOLUTION AND STRATEGIC DEVELOPMENT

Plans to establish a strategic Bitcoin reserve using funds from criminal seizures represent a significant shift in institutional approach .
The Securities and Exchange Commission ’ s regulatory framework is expected to undergo substantial changes , with reforms to SAB 121 potentially removing compliance roadblocks that have historically discouraged banks from expanding their crypto product offerings .
The regulatory environment shows signs of becoming more accommodating toward digital assets .
Philippe Bekhazi , CEO of XBTO , observes that “ this anticipated bull market period will continue , as procrypto regulations continue to be rolled out and the economic outlook continues to improve ”.
He notes the potential creation of a new crypto policy council and expects significant reforms in the first 100 days of the new administration .
Hong Fang , President of OKX , provides a measured outlook for the sector .
While projecting Bitcoin prices to fluctuate between US $ 70,000 and US $ 150,000 in the near term , with potential for US $ 400,000-500,000 over the next 3-4 years , she emphasises that broader macroeconomic and geopolitical uncertainties will continue to influence prices . She warns that concentration risks associated with ETF inflows and increasing institutional adoption create new vulnerabilities , though continued talent and capital inflow into the Bitcoin ecosystem suggests “ more builders can create more use cases and more price upside in the future ”.
130 March 2025