The total cryptocurrency market is now worth more than a dozen of the world’s largest banks, after the price of several leading cryptocurrencies hit record highs on Wednesday.
All-time highs of Ethereum (ether) and Solana helped push the combined market capitalization of all cryptocurrencies above $2.75 trillion for the first time in their history, while Bitcoin alone is now worth more than US giants like Meta (Facebook) and Tesla with market capitalization exceeded 1.19 trillion dollars.
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By comparison, the world’s largest bank, JPMorgan Chase, has a market capitalization of $503 billion – $40 billion less than that of Ethereum.
In addition to the rest of the 12 largest banks worldwide, the total market capitalization is just under $2.7 trillion for traditional finance leaders.
The latest record of the cryptocurrency market cap came after several months of impressive growth, which saw more than $1.5 trillion added to its total value since July.
It has been boosted by the resurgence of Bitcoin, which hit a new all-time high in October, yet it is the performance of other major cryptocurrencies that is currently fueling the rally.
After accounting for more than 80 percent of the total cryptocurrency market capitalization prior to 2017, bitcoin now makes up only about 40 percent of the market, according to CoinMarketCap price index data.
The world of traditional finance has remained largely resistant to cryptocurrency, with only some of the major banks in the United States and Europe offering cryptocurrency trading services to institutional clients.
Singapore’s DBS Group has become one of the first companies to provide service to wealthy clients, while other banks appear to be softening their stance towards regular clients after increased competition from rival banks.
The Commonwealth Bank of Australia, which ranks 12th in the world, announced this week that it will offer a platform for retail customers to trade cryptocurrency on its mobile banking app.
“We believe that we can play an important role in cryptocurrency to meet the clearly growing customer needs,” said the bank’s CEO, Matt Comin.
After its recent price hike, Ethereum now ranks higher than every leading global bank by market capitalization, as well as traditional funding giants like Mastercard and Visa.
In another merger of legacy and emerging financial technology, Mastercard recently announced plans to open its payments infrastructure to cryptocurrency “soon,” giving thousands of businesses and millions of customers access to crypto payments.
“We want to give all of our partners the ability to more easily add crypto services to what they do,” Sherry Haymond, Executive Vice President of Digital Partnerships at Mastercard, said in a recent interview. “Our partners, whether they are banks, fintech companies, or merchants, can offer their customers the ability to buy, sell and hold cryptocurrency.”