Since the outbreak of COVID-19, the world’s 14 largest banks have lost $ 635.33 billion in market value. This is more than three times the current market value of Bitcoin (BTC) and nearly twice the capital of all cryptocurrencies.
The starting point for this data is December 19. For reference, the market value of Bitcoin at that time was $ 130 billion. When the world entered the recession caused by the epidemic, six of the banks on the list had a higher market value than Bitcoin. Currently, there are only two main types – JPMorgan Chase and Bank of America. The Industrial and Commercial Bank of China has also come close and is currently pegged to the cryptocurrency.
However, every bank on the list reduced its market value by billions of dollars, while Bitcoin’s value increased by $ 62 billion, or 48%, over the same period.
As previously reported, the world’s largest pension fund lost the market value of Bitcoin in one quarter. Meanwhile, Bitcoin has gained unique acceptance among traditional investors, as is reflected in the growth of Grayscales Bitcoin Trust. The financial company recently made Bitcoin its reserve currency.
While the big banks are unlikely to ever disappear, they appear to be struggling to rethink their value proposition. The negative results they received may have been due to the recent billions of dollars of stimulus from central banks around the world.