For quite a long time crypto experts have been warning financial establishments, banks in particular, that they might not be able to rival the growing power of cyber assets.
There even have been predictions that banks may disappear given the evolution of digital money use. Perhaps, frightened by the “end of the world” in the face of cryptos, governments all over the world started taking a hardline stance on this phenomenon.
In the meantime, one of the giant US banks by assets – Bank of America (BoA) – officially acknowledged it might be incapable of keeping up with the increasing use of virtual money.
White Flag Waving
This week, in the yearly report to US regulators BoA for the first time ever emphasized that cyber assets may lead to considerable expenses.
“[…] the widespread adoption of new technologies, including internet services, cryptocurrencies, and payment systems, could require substantial expenditures to modify or adapt our existing products and services,” stated the bank.
Despite anything, the bank stated in the document aimed at the Securities and Exchange Commission (SEC), filed on February 22, that it tries to stay on rival.
Literally, the Bank of America admitted its deals can be damaged in the face of developing people’s interest in crypto-coins.
“Our inability to adapt our products and services to evolving industry standards and consumer preferences could harm our business,” the report reads.
BoA vs. Cryptos
Dealing with cryptos is always a double-edged sword. Same here: last year December Bank of America received a patent for its suggested cyber money trading platform and was referred to as a progressive institution in the field.
However, later the bank was backlashed for barring its customers from purchasing cyber coins with their credit cards. Remarkably, BoA was not the only financial institution that made a similar step. Among other banks, which turned away from the use of credit cards when it comes to cryptos, were Citigroup and JPMorgan Chase – other significant US banks.