The Industrial and Commercial Bank of China (ICBC), the world’s largest bank, has praised the progress of Bitcoin and Ethereum, which is undoubtedly good news for the sector. In a recent report, the lender lauded cryptocurrencies for their role in a constantly changing financial world.
Specifically, the bank compared Bitcoin to gold, emphasizing its rapid expansion in an increasingly digitalized economy. It also referred to Ethereum as “digital oil,” referring to the ecosystem’s ability to power various Web3 applications and programs across the developing marketplace.
ICBC Applauds Bitcoin, Ethereum’s Rapid Evolution
There is little doubt that the digital asset market has been a significant part of 2024 thus far. With the deadline nearing, the US Securities and Exchange Commission (SEC) has already approved two cryptocurrency-based spot ETFs. Furthermore, the asset class’s popularity has increased in recent months.
That has piqued the interest of the world’s largest bank, ICBC, which recently praised the progress of Bitcoin and Ethereum. Specifically, the world’s biggest lender produced a paper outlining why these tokens are vital and unique. VanEck’s head of digital asset analysis, Matthew Sigel, described the report as “a love letter” to Bitcoin and Ethereum.
The bank compared Bitcoin to gold, claiming the token “retains a scarcity similar” to the commodity. Throughout 2024, gold and bitcoin have reached all-time highs as they dominate the investment market.
Alternatively, they referred to Ethereum as “digital oil” due to its ability to power Web 3 applications. The bank emphasized how these two assets are expanding and evolving to be better utilized in the market. They specifically mention market demand driving BTC’s value as an asset to “consistently” rise.
Furthermore, they point out that Ethereum has a comparable advantage in that it “has been continually upgrading its technology” in various areas. The report identifies security, scalability, and sustainability as the most prioritized areas that have resulted in exceptional exposure and acceptance.
These two tokens presently lead the whole market. They both obtained exchange-traded products this year and should continue to expand. This level of admiration for their journey demonstrates how mainstream organizations are learning to value that growth.