The Netherlands-based Auditor firm KPMG published a report this week urging institutional investors to join the cryptocurrency industry as crypto assets have the potential to become the standard operation in financial transactions. The report highlights that total market capitalisation of crypto is estimated to be over $200 billion; there are more than 2,000 crypto assets including new stable coins, major financial institutions are launching financial services like Fidelity, and that venture capitalists have invested more than $3.9 billion in blockchain and crypto companies in 2018. On the other hand, the report acknowledges that "the parabolic rise in market participants, coins, prices, and market capitalisation is still dwarfed by traditional asset markets, however, which are more than $300 trillion globally," the report says. "Nevertheless, crypto continues to garner both good and bad press, and the debate between supporters and detractors is far from settled." The report was writing by Kiran Nagaraj, Managing Director, Constance Hunter, Chief Economist, and Judd Caplain, Global Banking and Capital Markets Leader for KPMG; with the collaboration of Coinbase, Fundstrat Global Advisors, and Morgan Creek Digital. Finally, the paper says that "cryptoassets have potential. But for them to realise this potential, institutionalisation is needed. Institutionalisation is the at-scale participation in the crypto market of banks, broker dealers, exchanges, payment providers, fintechs, and other entities in the global financial services ecosystem." Lagarde Advocates for the Winds of Change of Crypto Assets In the institutionalisation framework, Managing Director of the International Monetary Fund Christine Lagarde stated last week in a speech in Singapore called "Winds of Change: The Case for New Digital Currency," that central banks all over in the world should consider issuing digital currencies to make transactions more efficient and less risky. "I believe we should consider the possibility to issue digital currency," Lagarde said. "There may be a role for the state to supply money to the digital economy. The advantage is clear. Your payment would be immediate, safe, cheap and potentially semi-anonymous. And central banks would retain a sure footing in payments." IMF director asked herself "should central banks issue a new digital form of money?" Lagarde answered: "A state-backed token, or perhaps an account held directly at the central bank, available to people and firms for retail payments? True, your deposits in commercial banks are already digital. But a digital currency would be a liability of the state, like cash today, not of a private firm." Lagarde commented about the changing nature of money and the fintech revolution from ancient ages with the Chinese paper money for instance, to current times both now helped by blockchain technology. Investing in Crypto Assets: Lagarde and KPMG are on the Same Side Finally, both Christine Lagarde ant KPMG report in the name of Coinbase chief compliance officer, Jeff Horowitz, commented that cryptoassets and digital currencies are a real opportunity to transform the financial industry into a genuine open global financial system. That being said, Lagarde highlighted that proper regulation of the crypto market would remain a pillar of trust. Central banks in Canada, China, Sweden, and Uruguay are considering the idea seriously.