Yat Siu, co-founder and executive chairman of Animoca Brands, commented on the current situation of banks and the crypto sector. Siu states that the Trump Administration in the USA is favorable to blockchain-based and Web3 opportunities for traditional financial institutions.
Summary
Crypto Banks: a reality thanks to the Trump Administration favorable to the sector
Yat Siu, co-founder and executive chairman of Animoca Brands, wanted to comment on an article discussing the role of Banks in the crypto sector.
According to what he stated, Siu believes that the current pro-cryptocurrency stance of the Trump Administration presents significant opportunities for entry into this market for traditional banks and financial institutions.
Specifically, the entry of banks into the crypto space could bring several advantages to the entire Web3 sector.
To better describe his concept, Siu states that with traditional banks embracing cryptocurrencies, there is the opportunity to balance the innovative spirit of cryptocurrencies with the trust and stability associated with established financial institutions.
Another key aspect is the diversification of crypto deposits. The potential redistribution of cryptocurrency deposits among larger banking entities could mitigate the risk of future bank runs, making the cryptocurrency ecosystem more resilient.
Other consequences that the new crypto banks would bring concern the redefinition of banking services. In fact, Siu believes that by integrating crypto services such as custody or deposits, a significant and historic change would occur in the banking sector.
In practice, it would merge traditional banking activities with digital asset services, and thus banks could provide a wider range of innovative solutions to their clients.
Crypto Banks: between competition and collaboration with Web3 enterprises
Other significant aspects of Siu’s speech concern the possibility that a sort of competition and collaboration between crypto banks and Web3 enterprises may arise.
In fact, if banks become increasingly active in the Web3 space, a new model could emerge that lies between traditional financial institutions and crypto-native enterprises.
This new model of crypto banks will be possible thanks to the progress on regulations concerning cryptocurrencies.
At the same time, it will be the involvement of banks in the Web3 and crypto sector to globally reassess regulations and banking practices in the crypto field.
In practice, if crypto banks continue to increase, it will be necessary to create international cooperation and harmonization of regulations and standards regarding criptovalute.
Last week, it emerged that Donald Trump’s administration might soon include candidates for an advisory council on crypto. This is an initiative that would mark a significant evolution in the regulation of the sector in the USA.
Among the various names of the candidates, David Bailey, CEO of BTC Inc, and Perianne Boring, founder of the Chamber of Digital Commerce, have been mentioned.
Forecasts 2025 for Metaverso and crypto adoption
Recently, Siu commented also on the metaverse and crypto adoption for this 2025 that has just begun.
Regarding the blockchain-based metaverse, the co-founder of Animoca Brands spoke of a return of opportunities, with Play-to-Earn, the NFT market, and crypto.
Here, Siu believes that 2025 could bring the metaverse back to the bull year of 2021, given that in the following years it seems that the “open metaverses” have managed to tackle the various obstacles that have arisen.
Not only that, another recovery factor for the metaverse 2025 will also be AI. According to Siu, there is a close interconnection between artificial intelligence and the crypto world. Essentially, AI agents will become more autonomous and rely on the blockchain for verification and on crypto as a means of exchange.
Also regarding crypto adoption, Siu sees 2025 as the year it will become mainstream. This will be possible primarily if companies see the usefulness of cryptocurrencies in their sector, thus having to create new tracks that involve crypto.
