Back to the insights archive
Your business

Traditional banking is trying to reconcile with cryptocurrency

The cryptolutes are a theme that has hit global financial markets.

The cryptolutes are a theme that has hit global financial markets.

Some may think that this is not an interesting investment option, but a clearly speculative instrument.

However, the risk does not deter buyers of these assets.

The cryptolutes are a theme that has hit global financial markets. Some may think that this is not an interesting investment option, but a clearly speculative instrument. However, the risk does not deter buyers of these assets. The market value of cryptocurrency reached the size expressed in one billion dollars.

Bitcoin was supposed to be an alternative to traditional banks and means of payment. However, you can see first symptoms indicating acceptance of this phenomenon. Illustration can be considered the world capital of banking – Switzerland.

Center of crypto trade in mountain resort

The small alpine city of Zug begins to grow into the world capital of cryptocurrency. Everything is close to traditional Swiss banks. The specificity of this location is based on an attempt to regulate this market in a acceptable way. Companies operating in Zug declare compliance with all financial law regulations, including money laundering regulations.

Security is also an advantage for investors. So far, a large portion of the cryptocurrency segment has been located in the Far East. However, these regulations are largely unpredictable. The Swiss cryptocurrency valley undoubtedly benefited from decisions by the authorities in China that prohibited trade in all such assets.

Controversy remains

Cryptovaluty is not only a huge risk of loss of value due to speculation, but also a dream tool for financial fraudsters. Turnover of virtual money is highly dispersed. National governments may attempt to address this phenomenon under financial law, but it is extremely difficult or impossible to fully control this phenomenon.

Bitcoin assets are extremely useful to cyber criminals. Classic computer viruses can infect the corporate network and cause huge losses. The more insidious ones can encrypt data and become leverage for hackers who force ransom. There are known cases where such “Internet terrorists” demanded payment in cryptocurrency because they considered such a form to be more secure than ordinary transfer.

Plays only for riskants

Regardless of the Swiss assurances, it should be made clear and clear that buying cryptocurrency is a form of playing financial roulette. The spectacular increases in Bitcoin from the fall of last year may have tempted many people to make easy money.

By the beginning of this year, you could already read that the cryptocurrency bubble broke. Anyone considering such investments must take into account that neither bitcoin nor litecoin has any real value.

The purchase of shares is also risky, but here the economic justification is the possibility to receive a dividend above the average rate of return on the bank deposit. Having bitcoins gives no benefit. It's just a string of signs someone's willing to pay for.

Continue exploring our insights.

View the full archive
Your business

Investment in employee development will help keep the company on the market in times of crisis

For many companies, the current situation is a judgment that marks the end of their operation on the market.

Your business

Funding for the remuneration of workers in crisis shields

The crisis shield provides for a number of aid solutions for employers affected by the outbreak.

Your business

Micro enterprise loan within the Shield 2.0 – only for companies that suffered losses during the pandemic

one from the forms of aid provided for in the refreshed crisis shield package, it is possible to apply for a non-refundable loan for the company under certain conditions.