The CEOs of several major U.S. banks have expressed their warning over the use of cryptocurrencies in testimony made public ahead of their scheduled appearances before a Senate committee on Wednesday.
The remarks by Brian Moynihan of Bank of America, Jane Fraser of Citigroup and Charles Scharf of Wells Fargo came as U.S. financial regulators scramble to respond to the explosive growth – and sky-high volatility – of a crypto market currently lacking a comprehensive national supervisor.
Financial groups are simultaneously facing pressure from consumers and businesses wanting to participate in the action – and from regulators who have openly worried about a business environment that “could benefit from greater investor protection,” according to Gary Gensler, Chairman of Securities and Exchange Commission.
Moynihan alluded to the struggles of financial executives in his testimony, saying BofA is keeping his distance from the business of Bitcoin and its brethren even as it continues to “assess opportunities, risks and customer demand for the products. and cryptocurrency-related services ”.