Money2020 Conventional financial institutions urged to integrate with blockchain technology
During a stimulating discussion at Money20/20, Ripple’s Cassie Craddock, Domin Network’s Ioana Surpateanu, and Kraken’s Kaushik Sthankiya delved into the ever-evolving landscape of blockchain technology and its implications for security in the emerging market.
All three panelists unanimously stressed the significance of blending traditional finance (TradFi) with blockchain technology to grasp its broader implications and shape the future of blockchain technology. Surpateanu emphasized, “Blockchain serves to optimize and attract consumers in creative industries. The coexistence of TradFi and blockchain is not just a concept but a reality that will continue to progress.”
Throughout the Money20/20 event, speakers reiterated the importance of interoperability, a sentiment echoed by Surpateanu, who highlighted how interoperability prevents fragmentation within blockchains and spurs innovation.
The panelists also discussed the necessity of centralized exchanges as a means to secure platforms for retail and institutional customers to interact with cryptocurrencies.
A Dynamic Year for Blockchain Technology
Reflecting on the past year, the panelists delved into the remarkable growth of the crypto market, particularly within the blockchain sphere. Surpateanu reflected, “In 2017, when I joined Citigroup, the predominant mantra was ‘blockchain, not crypto.’ However, the focus has since shifted back to infrastructure. Now, we are witnessing a crypto market cap exceeding $2.6 trillion USD.”
Surpateanu is actively involved in developing technology that validates and authenticates data across various blockchain layers, enabling users to exchange digital assets for physical goods through tokenization. This innovation has piqued the interest of numerous fashion and gaming companies seeking to gain valuable insights and bolster their user communities.
Sthankiya highlighted Kraken’s growth and the changing landscape of cryptocurrencies, noting, “Crypto has undergone significant maturation over the past twelve years. We now operate in 190 countries, offering a broad range of tokens for trading. The industry’s safety, security, and regulatory compliance have seen substantial enhancements.”
Blockchain Transforming Payments and Banking
The conversation then shifted towards the practical applications of blockchain technology in the realm of payments. Craddock shared how cross-border payments have become faster and more efficient thanks to blockchain technology. “Sending money to Australia is now quicker than processing an international wire transfer. Blockchain technology effectively addresses this inefficiency,” Craddock affirmed.
Sthankiya shed light on Kraken’s pivotal role in enabling large-scale transactions, particularly catering to the growing demand from institutional customers for instant and secure movement of substantial funds across borders. The safety and security offered by centralized exchanges play a crucial role in meeting this demand.
Surpateanu also offered a critical perspective on the integration of banks with blockchain technology. “Banks have the potential to further integrate into this ecosystem. While many banks have crypto-savvy teams, regulatory constraints and a compliance-centric approach often hinder their progress,” she remarked.
