There are two things that you really need to know about cryptocurrency if you’re a bank or a high-net-worth individual looking to store wealth in this relatively new instrument.
Firstly, Bitcoin is a vast and complex network of connections. That complexity means any institution looking to work with cryptocurrency needs to understand its workings and its premise better. Firms also need to have a clear grasp of what a typical cryptocurrency transaction looks like compared to an unusual one to head off fraud in any interaction for a client.
Secondly, decentralised finance — the push to replace traditional finance approaches and structures using blockchain and cryptocurrencies — is gaining greater traction and mindshare. Now in 2022, individuals and corporations can lend, borrow, swap, margin trade, and even create a mini hedge fund on blockchain. The permissionless and trustless features of blockchain are becoming more attractive to the market.
Dan McGary, senior sales executive for mid-market enterprise, East at Neo4j, discusses how graph technology can effectively lend itself towards cryptocurrency operations