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All big banks will be crypto trading soon: Former Citigroup CEO

'Shouldn't I also be trading and selling cryptocurrency assets?' is a question that every bank may soon be asking itself

All of the world's major banks will start trading in crypto in "one to three years," former Citigroup CEO Vikram Pandit predicted at a tech conference in Singapore.

In an interview with Bloomberg reporter Haslinda Amin at the Singapore Fintech Festival, Pandit said that large banking's reluctancy to accept cryptocurrency may soon be turned on its head as it comes to dominate the banking and trading worlds.

"Every large bank and/or securities firm is going to actively think about 'shouldn't I also be trading and selling cryptocurrency assets'," Pandit, who led Citigroup from 2007 to 2012 and now chairs The Orogen Group, which he co-founded, told Bloomberg.

The move is already happening in many places.
Last week, the Commonwealth Bank of Australia announced that it would soon give its clients the chance to trade cryptocurrencies while Goldman Sachs, Wells Fargo and Fidelity have all been hiring large numbers of cryptocurrency experts, as first reported by Markets Insider. 

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As part of a partnership with Galaxy Digital, Goldman Sachs Group Inc. has also recently started trading crypto futures.

Pandit has previously invested in cryptocurrency companies like Alchemy Insights and Coinbase (COIN), which is public and currently up 5.53% to $355,68. 

He told Bloomberg that a paper-based banking system is full of “dead weight" and "cumbersome." A move toward accepting digital currency can, he argues, alleviate some of these challenges.

"My big hope is that central banks around the world understand the benefit of a central bank digital currency, and move on to accept, adopt them,” Pandit said.