Summary
TLDR: Traditional financial institutions and regulators are getting into crypto, but mostly on permissioned networks. Regulators are encouraging this due to the risks associated with permissionless blockchains. Basel Committee on Banking Supervision plans to keep high bank capital requirements for crypto-assets held on permissionless blockchains.
Key Points
1. Traditional financial institutions and regulators are mainstreaming crypto, but mostly on permissioned networks.
2. Regulators are encouraging the use of permissioned networks due to the risks associated with permissionless blockchains.
3. The Basel Committee on Banking Supervision has announced plans to revise bank capital standards for crypto-assets, with higher requirements for assets held on permissionless blockchains.