Bank of America (BoA) CEO Brian Moynihan believes US banking institutions are willing to adopt cryptocurrency payments if proper rules are in place, signaling that the financial industry is still waiting for clearer signals from regulators before moving forward.
In an interview with CNBC at the World Economic Forum in Davos, Switzerland, Moynihan said if proper regulations make crypto payments “a real thing,” then the “banking system will come in hard on the transactional side of it.”
In such a scenario, crypto transactions would simply be considered another payment type alongside credit cards, debit cards and Apple Pay.
“We have hundreds of patents on blockchain already, we know how to enter the field,” said Moynihan.
From blockchain settlement systems to digital wallets and enterprise crypto accounts, BoA has been at the forefront of the patents race since at least 2018. However, as Cointelegraph reported previously, it wasn’t always clear whether the bank’s patent push was intended to foster blockchain innovation or hedge against a future risk.
Since then, US crypto regulations have been slow to materialize. A lack of uniform licensing requirements, limitations on banks and the potential tax implications of transacting with digital assets have stymied the growth of crypto-as-a-payment.
Related: Blockchain at a crossroads: From Davos hype to global impact
Is crypto guidance on the way?
If campaign promises are any indication, blockchain and cryptocurrency adoption is expected to flourish under President Donald Trump. While crypto wasn’t part of Trump’s 42 executive orders on day one of his presidency, pro-industry regulations are expected in the near future.
Donald Trump signs executive orders in the Oval Office. Source: White House
According to S&P Global, leadership changes at the Federal Deposit Insurance Corp, Office of the Comptroller of the Currency and Consumer Financial Protection Bureau could lead to clearer regulatory guidance on cryptocurrency this year.
Although the Trump administration has vowed to consolidate government offices, this is unlikely to result in any meaningful structural changes for bank regulators, according to Robert Maddox, a partner at Bradley Arant Boult Cummings.
“There are more people interested in finding regulation and/or bank accounts for these cryptos than there are in reducing what people consider the regulatory structure in America,” Maddox told S&P Global.
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