HSBC is Cautiously Looking at Cryptocurrency Use Cases
HSBC executive confirms to Forbes that the bank is cautiously looking at cryptocurrency use cases when asked about its approach.
Mr. Josh Bottomley, HSBC’s Global Head of Digital, shared that the bank is “cautiously” looking at cryptocurrencies and their use cases. He said that there is a use case for a token or currency as long as it is useful for a particular purpose.
He also said that the bank is not interested in terms of the token’s speculative aspects and added that it still doesn’t see it as a genuine investment asset. Although, the bank’s position might change.
“One of the criteria we use is if an asset class is showing incredible volatility up and down. For the vast majority of our customers, that makes it an inappropriate saving or investment vehicle.” – Mr. Josh Bottomley, Global Head of Digital, HSBC
The Global Head of Digital confirmed that the financial institution does not use cryptocurrencies for trading or process its payments denominated in virtual or cryptos.
Along with other financial establishments, HSBC is cautious about cryptocurrencies but is exploring its underlying technology, the blockchain, in various use cases.
HSBC is a founding member of a European blockchain trading platform, we.trade, which uses IBM’s Hyperledger Fabric. The trading platform successfully completed its first live operations earlier this month.
Acudeen, a Filipino fintech startup, also uses IBM’s Hyperledger Fabric to help SMEs liquidate their receivables faster using their platform.