Treasurers move slow in the application and digitalization of new solutions, no wonder since they are the guardians of financial risk.
Despite the ongoing hype on crypto, there are less than 1 percent of treasurers that use cryptocurrencies as a payment method, according to research from East & Partners.
It can be difficult for corporates who operate in multiple countries to invent in the operations space when countries involved do not accept the new solutions and have strict regulations speaking against them, for example blockchain technology.
A forecast that speaks for crypto
Henri Aslanian, fintech and crypto lead at PwC, forsees that the future of treasurers will persist of consolidations, something that will speak for the use of cryptocurrencies. The blockchain technology has potential to facilitate global transactions in a fast and less expensive way with minimal friction. All areas of record keeping, corporate actions, traceability, instant settlement, counter pay risk and less credit risk can be applicable with distributed ledgers technology, explained The Corporate Treasurer.
Security tokens are trending
Today, there is a massive ongoing boom in asset-backed token, such as cash, gold and securities. For example, Singapore took one more step towards tokenized securities and their central banks seem to be experimenting with the concept, expressed The Corporate Treasurer earlier this fall.
Bénédicte Nolens, head of regulatory affairs for Circle expect that crypto is not going to replace treasury functions, rather serve as a complement and open up more possibilities for a corporate treasurer, to the Corporate Treasurer.