September 18, 2019

Wells Fargo makes it official: Big banks are getting in on cryptocurrency

Wells Fargo introduced a US dollar-backed stablecoin, joining JPMorgan on the lines of the crypto frontier.

Wells Fargo just announced it will launch a US dollar-linked stablecoin, making it the latest financial titan to get in on cryptocurrency. 

Now, a cyberpunk concept has really gone corporate 

Wells Fargo Digital Cash — the very creative name for Old Man Fargo’s tokenized dollars — will launch next year. Wells Fargo’s proprietary digital ledger tech (DLT) will allow users to move money internally across the firm’s global network in “near real-time.” 

Wells Fargo isn’t the only big bank digging the digidollar. JPMorgan launched JPM Coin earlier this year… and it’s likely other banks will follow suit with tokens and networks of their own. 

So… why go crypto?

In its early days, the unregulated nature of cryptocurrency networks created concerns that it would enable tax evasion, money laundering, and other darknet activities (talk about naughty bits).

But banks are discovering that blockchain-based technologies allow instantaneous payment transfers. 

And in an increasingly global economy, this is especially attractive because businesses can move funds outside of normal operating hours while cutting the time and costs associated with such transactions and eliminating the need for middlemen.

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