Finery Markets: 100 days of MiCA and the Execution Gap Banks Must Close
Finery Markets highlights that 89% of banks are budgeting for digital assets following the implementation of the Markets in Crypto-Assets Regulation (MiCA), yet they still lack the necessary trading infrastructure. This reveals a significant gap in preparedness among banks to fully engage in the digital asset space a year after MiCA's introduction.
The report indicates that while financial institutions recognize the importance of adapting to the digital economy, many are still struggling to establish the execution frameworks needed for effective trading. As the market for digital assets expands, banks need to address this gap to remain competitive and capitalize on emerging opportunities.
Key takeaways
- ▸89% of banks have allocated budgets for digital assets.
- ▸Despite budgeting, trading infrastructure is inadequate for effective execution.
- ▸The implementation of MiCA is highlighting gaps in banks' readiness for digital asset trading.
- ▸Banks must close the execution gap to remain competitive in the evolving digital economy.
Why this matters
The finding underscores the urgency for banks to upgrade their trading capabilities to fully participate in the increasingly competitive digital asset market. Without adequate infrastructure, banks risk falling behind fintech firms that are more agile in adopting digital asset operations, jeopardizing their market share and relevance in a rapidly evolving financial landscape.
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