The interview focused on discussing whether cryptocurrencies could replace SWIFT technology and lead to better results in the financial system at large. According to Brooks, the COVID-19 pandemic has made it painfully obvious that traditional banking must change.
“We depended on the banks to deliver benefit payments in the form of Paycheck Protection Program, debt loans, check from the treasury department and the problem is, we were sending them across 19th century banking rails,” he said.
Brooks’ parallel was accurate, but if mainstream financial institutions prefer to stick with a dated method, that’s only because it works successfully on a global scale. However, the predicted rise of Fintech Brooks mentioned in the interview is set to empower traditional institutions and help them move forward, should they muster the courage to do so.
"We need to get to a place where payments can be transmitted virtually instantaneously, where errors can be eliminated," says @BrianBrooksOCC of @USOCC who also explains why the #crypto "phenomenon” cannot be ignored! pic.twitter.com/0o4WZwdhnA
— Julia Chatterley (@jchatterleyCNN) August 18, 2020
He also said that he is in favour of more private companies expediting payments and offering financial products to their customers so that people can enjoy a more varied pick. Brooks explained that the United States was surprisingly behind in adopting Fintech solutions but that, in the end, the market would prevail.
He discussed other topics, including but not limited to the viability of cryptocurrencies.
“Among those included questions including, should banks be allowed to participate in the cryptocurrency market at all, should banks be allowed to connect to blockchain, should we have central bank digital currencies, perhaps issued by private companies but backed by bank deposits.”
Cryptocurrencies have already proven a powerful tool in certain sectors, not least payments. Blockchain digital assets are already used as exchange token at many entertainment venues, and not least Bitcasino, 1xBit and FortuneJack.
While crypto regulation has been tenuous at best, there have been some efforts to bring clarity in the sector. The OCC, which Brooks leads, is now devising the Payments Charter 1.0, which is designed to streamline the licensing process for Fintech companies in the United States.