If the Coronavirus crisis has achieved one thing, it has been to expose the vulnerabilities of the global financial system. And it is that, while traditional institutions have struggled to stay afloat in the midst of the crisis. Cryptocurrencies, and Blockchain technology in general, have experienced an era of expansion. Therefore, it is not surprising that Changpeng Zhao says in the Tweet of the day HSBC should buy Bitcoin:
HSBC and investments in Bitcoin
For most people there is a group of large financial institutions that seem “too big to fail.” Large banks like JP Morgan, Bank of America or HSBC, which handle billions of dollars around the world. And that, therefore, they seem invulnerable in the face of the problems that affect the rest of humanity.
However, the Coronavirus crisis has revealed the weak point of these institutions. Well, as the industrial and commercial activity of the planet has been minimized. Traditional banks have struggled to maintain vitality in the financial sector. Something that the low interest rate policy of central banks has not helped. A problem that Bitcoin has managed to escape from.
And it is that, if the traditional financial system has faced serious problems during these months. The Bitcoin ecosystem has remained booming, managing to consolidate its price above $ 10,000. A situation contrary to the one experienced by the large bank HSBC, which suffered a fall to historical lows in 25 years, prompting Binance CEO Changpeng Zhao to suggest that they buy Bitcoin to protect their capital:
«Could this be a good time for you to acquire Bitcoin?«
In this way, Changpeng Zhao does nothing but show the good moment that Bitcoin is living. And that has even caused large institutional investors to start acquiring the cryptocurrency. A trend that could soon spread to large firms like HSBC itself.