Michael Saylor Envisions Major Banks Embracing Bitcoin Custody
As Bitcoin (BTC) gains popularity among global investors, Michael Saylor, the co-founder of MicroStrategy, has addressed the challenges associated with self-custody.
He expressed his belief that major banks will eventually offer Bitcoin custody services, foreseeing a time when these institutions will play a crucial role in the Bitcoin ecosystem.
The Bitcoin maximalist emphasized the impracticality of certain entities, such as the Mayor of New York City or the United States Defense Department, personally holding Bitcoin. Instead, he argued that large institutions, corporations, churches, and similar organizations would require custodial infrastructure and banking services.
In his view, all major banks will eventually provide Bitcoin custody solutions.
Moreover, Saylor pointed out that there are individuals who cannot be expected to self-custody Bitcoin, such as minors who inherit it or elderly people suffering from dementia. In such cases, trust companies or similar institutions must step in and manage their Bitcoin assets.
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Saylor further stated that if nation-states continue to exist, institutional sources will inevitably hold Bitcoin and will rely on banks to safeguard it. He believes that Bitcoin will gradually integrate into various traditional institutions worldwide for economic, physical, and political reasons.
It is worth noting that MicroStrategy, a leading enterprise business intelligence software vendor, has acquired over 140,000 BTC. Some critics, including Hal Press, the founder, and CEO of the cryptocurrency-focused investment fund North Rock Digital, have dismissed this strategy as “comically stupid.”
At the time of writing, the price of Bitcoin in the decentralized finance (DeFi) market stood at $27,323, reflecting a 1.72% increase for the day and a 0.41% gain over the previous week. The cryptocurrency aims to recover from a 1.70% loss incurred during the past month.
Alexander Stefanov
Reporter at CoinsPress
Alex is an experienced finance journalist and a cryptocurrency and blockchain enthusiast. With over five years of experience covering the industry, he deeply understands the complex and constantly evolving world of digital assets. His insightful and thought-provoking articles provide readers with a clear picture of the latest developments and trends in the market. His passionate approach allows him to break down complex ideas into accessible and insightful content. Follow up on his content to be up to date with the most important trends and topics - stay ahead of the curve with CoinsPress.
