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14 Nov 2022

14 Nov 2022

A note from our CEO on current market conditions

A note from our CEO on current market conditions

A note from our CEO on current market conditions

Dear BVNK community. In light of the current market conditions, I wanted to share an update on behalf of the BVNK leadership team.

Dear BVNK community. In light of the current market conditions, I wanted to share an update on behalf of the BVNK leadership team.

Dear BVNK community. In light of the current market conditions, I wanted to share an update on behalf of the BVNK leadership team.

As the situation with FTX continues to unfold, many of us are wondering what is next for crypto. Although BVNK is not directly impacted - we have no liquidity or credit exposure to FTX - we’ve been discussing what this means for the future of the industry. Like many of you, we firmly believe that crypto is here to stay, but there is work to be done.

I’ll aim to share my high-level view in this post. First, I'll give a quick overview of what’s happening and what it means for BVNK.

What happened with FTX?

A few weeks back, it became public knowledge that crypto exchange firm FTX was not backing user funds 1:1 behind the scenes. FTX was eventually forced to pause operations. Retail and institutional users are left unsure if they’ll be able to recover their funds.

What is BVNK’s exposure to the situation?

BVNK does not have any liquidity or credit exposure to FTX. BVNK is a B2B payments platform that enables businesses to move money anywhere, in any currency - fiat or crypto. We provide the modern rails that money flows through. Due to our payment focus, the vast majority of our trading assets are in stablecoin and fiat.

We are not a crypto exchange. Unlike an exchange, we do not hold large positions of volatile cryptocurrencies, and thus will not be impacted by a sudden and steep devaluation of a particular currency.

From day one, BVNK has focused on building stability and resilience into the core of our business and products to protect our customers, investors, and team. We will continue to do so.

What does this mean for the future of the industry?

It’s impossible to predict what is next, but here are some thoughts from the BVNK leadership team:

  • We believe crypto is here to stay. BVNK is still bullish on a globally accessible, programmable financial system, underpinned by modern rails. We believe that regulated, fiat-backed stablecoins will provide the infrastructure needed to deliver this vision. We are building in this direction.

  • Increased levels of international coordination at a regulatory level are urgently needed to protect investors and preserve financial stability while allowing innovation. Clear regulation is the key to building a sustainable future for crypto.

  • Stability, resilience, and transparency are more important than ever. Not all crypto projects or companies are created equal, but there is still a lot of good work happening. Undoubtedly, there is also a lot of work still to be done. Particularly when it comes to building consumer trust and rebuilding credibility for the industry. We must hold ourselves and our peers to the highest possible standards.

You’ll hear more from BVNK on these topics over the coming months. As always, we are committed to providing products that are stable, safe, and resilient.

If you do have any questions, please feel free to reach out to me or any of the BVNK leadership team. We know this is a confusing and trying time for many in the community and we offer our support.

Jesse Hemson-Struthers, CEO and co-founder, BVNK.

Read the original post on LinkedIn here.

News, events and updates

News, events and updates

News, events and updates

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Get started

Get in touch with us today to find out how BVNK™ can make running your business simpler.

Open a Business Account

Contact Sales