Sponsored: EY Americas Digital: Crypto lays down roots in New York

The always-compelling story of blockchain continues to be written in real time. Through every up and down in the crypto market, however, supporters’ belief in the emerging technology as a powerful instrument of social good and financial-system disruption never wavers. Crain’s Content Studio recently convened a breakfast panel of crypto industry leaders to discuss the next chapter of this potentially ground-breaking technology, focusing notably on the role New York might play in that future. One of the panel participants, Chen Zur, EY Americas Digital, Emerging Technologies & Blockchain Leader, sat down with us separately to add context and color to the thoughts that he offered at the gathering.

CRAIN’S: What do New York institutions stand to gain from the crypto sector’s growth in the region?

CHEN ZUR: Cryptocurrency is only the first step for blockchain technology; in its core, blockchain allows us to manage our digital identity, our ability to own digital assets and exchange value between us. Blockchain, together with advancements in technologies like AR and VR, is an integral part of Web3—the next evolutionary step of the internet (the metaverse). Web3 and blockchain are an inevitable future, and the changes they bring present opportunities for New York. Once businesses bring their brands to Web3, they will be able to accept payment through new methods, create new ways to maintain customer loyalty, and monetize new experiences.

CRAIN’S: From a consumer’s perspective, how are blockchain-based solutions poised to change financial services?

ZUR: Today’s monetary system uses intermediaries, like banks and payment apps, to exchange value—debiting one person’s account while crediting another’s. Similarly, our individual digital identities are managed through intermediaries, like social networks. With Web3, the internet itself, via blockchain ledgers and protocols, will both ensure the exchange of value and verify digital identities. Consumers will own their assets and be able to exchange value without having to depend on an intermediary. And everything will happen immediately, around-the-clock and around the world. These capabilities have ramifications for activities such as interest-billing deposits, currency exchange and collateralized lending. Consider the painful 60-day mortgage process. Ten years from now, it will be closer to seamless.