- S&P predicts, crypto to continue growing in 2022
- Traditional Finance will not be affected by DeFi
As per the latest report provided by S&P Global, an intelligence and data gathering company, the Cryptocurrency and Decentralized finance sector will continue to escalate in 2022. As per information mentioned in the report, titled “Global Credit Outlook 2022”, many organizations are soon to follow the footsteps of organizations that are accepting cryptocurrencies.
The report also reckons tokenization as a powerful tool that could assist people in investing in assets. Also next year, it is essential that a regulatory framework that identifies the token holder’s rights and protocols of smart contract gets initiated.
Traditional Finance will not be affected by DeFi
Concerning Decentralized finance, the report has suggested continuous growth, without affecting the traditional financial structures, managing banks, and finance.
S&P report showed concerns about the rise of Stablecoins. This increase in popularity could highlight the need for regulation. This is a concern for regulators as they have failed to address it because of the lack of framework available even to monitor crypto-assets.
Disclaimer: The article should not be considered as any financial advice. It is advisable to conduct thorough research before investing.
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