BNY Mellon, the nation's oldest banking institution, founded in 1784, released a March 2021 report today covering various valuations frameworks for bitcoin. This came on the heels of the bank’s early February announcement that it plans to create a digital assets unit. The report, titled “Blending Art & Science: Bitcoin Valuations'' compared the attributes of bitcoin to other currencies and monetary assets, offering new insight into how one of the country’s oldest legacy financial institutions views the cutting-edge of money.
The report cited popular models such as Plan B’s stock-to-flow cross asset model (S2FX), and also explored Bitcoin’s evolving narratives over time, a concept originally explored by Nic Carter in a piece titled “Visions Of Bitcoin.”
While the report did not give any definitive price targets or expectations for the future trajectory of bitcoin, it was yet another positive endorsement coming from Wall Street, from the nation’s longest-standing banking entity.