Bank of America Report: Comprehensive regulatory framework crucial for mainstream adoption and institutional involvement in digital assets. Bank of America Report: Comprehensive regulatory framework crucial for mainstream adoption and institutional involv

Odaily News: In a research report released on Friday, Bank of America stated that a comprehensive regulatory framework is crucial for the mainstream adoption of digital assets and institutional participation.



However, the bank pointed out that the recent court ruling against Ripple Labs by the SEC did not provide clarity on this matter. While the digital asset industry welcomed the decision, the bank noted that "Ripple's XRP product is unique" and the impact of the ruling is difficult to determine.



Analysts Alkesh Shah and Andrew Moss wrote, "The judge ruled that Ripple's programmatic sales of XRP on digital asset exchanges do not constitute the unregistered issuance and sale of investment contracts, primarily because initial unregistered issuances and sales to institutional investors had already occurred, creating a market."



Bank of America stated that it will continue to differentiate between transactions involving blockchain-native cryptocurrencies and tokenization of traditional assets, including ETFs, repurchases, and gold, which have "established rules and trading volumes reaching trillions of dollars." (CoinDesk)