DIGITAL ASSETS If customers retain funds in stablecoins rather than settling in local currency, what new business models should banks develop to maintain relevance in a tokenised economy?
Anthony Yeung, CCO at CoinCover If customers retain funds in stablecoins, banks are likely to want to keep those assets on their own platforms. That would mean being able to offer digital asset services, wallets and exchanges, seamlessly integrated with their fiat propositions. The exchange element, in particular, presents new revenuegeneration opportunities.
Retno Widuri, Head of Crypto, at Unlimit If customers aren’ t depositing cash into banks anymore, then banks won’ t be able to rely on the stickiness of customer deposits – at least not without offering business and consumers additional value for holding their digital assets.
They must innovate, or they will get left behind. They should offer yield on tokenised treasuries or support yieldbearing stablecoins, deliver custody solutions for digital assets, and even further monetise transaction flows by embedding themselves more firmly into digital asset ecosystems.
Offering instant FX conversion at the point of payment will be another way that banks can stay relevant in a tokenised economy. The smartest move will be to work together with fintech partners to build digital asset trading products. Banks will need to become platforms for digital asset custody and flows – otherwise they will start to disappear. fintechmagazine. com 69