Top Organizations Debut in the Crypto and Blockchain Sphere

Top Organizations Debut in the Crypto and Blockchain Sphere

The latest buzz of PayPal joining the cryptocurrency league has generated ripples in the industry. From big tech companies to global banks, a multitude of top-notch organizations have started developing products pertaining to the crypto and blockchain industry. This pattern of leading organizations joining the industry suggests that we have moved way past the stage of asking the question, ‘Will the crypto/blockchain industry become mainstream?’

Moreover, a more relevant question has emerged: What will be the potential impact of these organizations to the industry in the next decade?’

In this article, we take a look at some of the notable organizations that have already made their debut, as well as companies planning to introduce a product.

PayPal Joins Cryptocurrency Ecosystem

PayPal plans to offer its 325 million users the ability to buy and sell cryptocurrencies. PayPal has already associated itself with the Facebook project Libra and has been a payment gateway for leading cryptocurrency exchanges. In 2018, the service provider also filed for a patent for a faster cryptocurrency payment system.

While the Fintech company is yet to comment, sources suggest that PayPal has already begun its operations and is likely to launch this service within 3 months. PayPal has started working with leading cryptocurrency exchanges to offer source liquidity. Sources also suggest that PayPal will have built-in wallet functionality for storing cryptocurrencies.

The Libra Cryptocurrency Project of Facebook

Since news broke that Facebook was launching its own cryptocurrency, the Libra project has run into one difficulty after another.

When Facebook unveiled its project in 2019, the Libra consortium consisted of predominant members including Vodafone, PayPal, Uber, Stripe, and more. However, with the project running into regulatory issues a number of organizations have decided to step out. But the Libra project is in plans and we will be able to see a Facebook backed cryptocurrency by the end of 2020.

Regardless of its timeline, the onset of a social network giant like Facebook into the cryptocurrency ecosystem is likely to drive broader adoption and inclusion in the crypto sphere.

Twitter’s Square Cash App

Square is a payments entity backed by Twitter’s CEO Jack Dorsey that engages in various payment products or services. One of these is the Cash App, which enables customers to purchase cryptocurrencies. After launching in 2019, the Cash App became one of the most used finance apps available in the market.

Moreover, it has garnered a community of nearly 24 million active users. In addition to the Cash App, Dorsey is actively pushing for cryptocurrency products within the payment ecosystem. Twitter has already acquired a patent for real-time crypto-to-fiat swaps and is also pushing for bitcoin development through initiatives like Lightening Development Kit.

JP Morgan Chase’s Crypto Endeavors

JPMorgan Chase, one of the largest global financial institutions, has started warming up to the idea of bitcoin and cryptocurrencies. In 2019, the bank sent out a press release to launch its own token – a JPM digital coin based on blockchain technology. The digital token, currently called the JPM Coin, enables instant transactions between its clients over the blockchain network.

Recently, JP Morgan Chase has also started accepting clients from the cryptocurrency industry. Its first clients include two prominent cryptocurrency exchanges, Coinbase and Gemini. JPMorgan Chase facilitates customers of these exchanges to link their bank accounts to their cryptocurrency accounts.

Apart from JPMorgan Chase, a number of banks have started leveraging cryptocurrency and blockchain ecosystems. 15 central banks across the globe are considering developing Centrally Backed Digital Currencies (CBDC). Various consortiums such as BankChain in India have also been formed across the globe to explore the space of cryptocurrency for banking and finance services.

Bakkt Bitcoin Futures

Bakkt, launched in 2019, created a huge buzz in the crypto and blockchain sphere due to the corporations backing the venture. Announced by Intercontinental Exchange (ICE), the group behind NYSE, Bakkt is their first crypto product. The Bakkt venture is also backed by Microsoft and Starbucks, among others.

The onset of a venture by these leading organizations has engendered momentum for institutional investors looking to invest in the cryptocurrency market. It offers bitcoin futures contracts on its platform, and Bakkt has already started offering the option to pay in bitcoin for specific goods.

Another significant financial services company, Fidelity Investments, has also started offering cryptocurrency custody services. The firm, which is one of the world’s largest asset managers, launched Fidelity Digital Assets to offer financial institutions a secure platform to store and transact digital assets. This growing trend of successful ventures into offering different products and services for cryptocurrencies demonstrates further mainstream adoption of digital assets.

Rising Momentum in the Crypto and Blockchain Sphere

The list of prominent organizations developing products in the crypto and blockchain sphere continues to grow exponentially. From Samsung’s blockchain phone and IBM’s blockchain-enabled applications to Alibaba’s recent patent acquisitions for blockchain-based applications, global interest shows no sign of slowing down.

Additionally, governments across the globe have started developing blockchain-enabled systems to transform their existing processes. In India, the government has started exploring blockchain for different use cases like financial inclusion and land registry. Institutional investors across the globe are also exploring theT cryptocurrency investment space. According to a survey by Fidelity Digital Assets, nearly half of institutional investors were considering to invest in digital assets.

Such bold moves suggest that the industry is attracting contributors, corporations, and a community of both retail and institutional investors. According to a survey conducted by PWC, 84% of organizations stated that they were actively involved with blockchain technology. Deloitte’s blockchain survey further suggests that blockchain is a priority investment for many companies across the globe.

The question is not ‘Will crypto and blockchain achieve mainstream adoption’?. In 2020, the question is ‘Which key player is joining the blockchain and crypto sphere now?

 

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