Binance, the world-renowned cryptocurrency exchange, established a benchmark profit of $200 million at the advent of 2018. Compared to this, Deutsche Bank – one of the most reputed names in the mainstream dealings finished its journey with $146 million in earnings in the same quarter. Not a spell from the book of wizardry but a reality, the popularity of cryptocurrencies has shown an exponential growth in the industry’s valuation in the last couple of years.
Changpeng Zhao, who goes by CZ, boasted about the company’s profit escalation from $7,500,000 to $200,000,000 and announced: “Any country that can attract Binance to open a branch in their location will receive a handsome tax income revenue.” This is a clear indication of how Binance is capitalizing on its relocation from Taiwan to Malta.
On the flip side, Christian Sewing, the newly appointed CEO of Deutsche Bank mentioned that the institution will shift its focus from hedge fund investments and strengthen the areas where the bank has maintained its supremacy. “Deutsche Bank is deeply rooted in Europe – here we want to provide our clients access to global financing and treasury solutions”, Sewing declared.
Although cryptocurrencies are in their infancy, the startups dependent on the industry have been immensely benefited. Currently, the total valuation of the cryptocurrency market amounts to $400 billion, which is less than the combined market values of HSBC and JPMorgan. However given the inclination towards adoption , it should soon overpower all the traditional means of financial transactions, digging deeper into the global economy. Spearheading the movement, Bitcoin has managed to reign the market from 2009 to even today, which has constructed a solid base for the latest cryptocurrency technologies.
However, the world still possesses two different opinions about the cryptocurrency industry. If the newly invented ecosystem manages to live through, then it may hold the key to the future of finance.