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The Use of Cryptocurrency in Business

Additional considerations for a “hands-on” approach
Tax and accounting considerations
Integrating Treasury and Operations
Choosing and evaluating a vendor or custodial partner
Identify your company’s path and develop a road map
As with any technology change or upgrade, it is important to have an implementation plan. Crypto is viewed by some as a critical part of the evolution of finance. When your company chooses to engage with crypto it triggers changes across the organization as well as changes in mindset.
The implementation plan should include, but is not limited to, these types of questions:

What is the overall strategy?

What are the short- and long-term objectives?

What partners, internal and external, does the company need to involve? Can leaders identify effective champions for the effort across the enterprise, in all relevant departments?
Will the decisions and actions the company takes now allow for flexibility and scaling of efforts later?
How can the company integrate the security needs of operating in the digital asset ecosystem with existing security and cyber efforts in the company?
How can the company implement the introduction of crypto? Does it begin with a payments-only, hands-off approach? Or does it engage hands-on?

What resources will the company need above and beyond those it currently has? What new expertise might it need?
What will the implementation road map look like?
How will the company evaluate progress as it implements? Does the company have the necessary processes in place to monitor the execution of transactions and vendor performance?

What does the final state before launch look like?
This can be a complex endeavor. That’s why, before engaging in a more robust launch, some companies have chosen to pilot the use of crypto just as they would pilot a new technology. One type of pilot is an internal, intradepartmental pilot based in Treasury, since Treasury is typically responsible for internal funding of the company and its departments and subsidiaries. The pilot can begin with the purchase of some crypto, after which Treasury uses it for several peripheral payments and follows the thread as the crypto is paid out, received, and revalued.

There are several platforms built to address inter-entity payment settlements that could help Treasury pilot such an effort. They allow for internal transfers from department to department and help ensure the real-time balancing of the company’s global payment system. Some companies think of the pilot this way: It’s a bit like a contrast dye that enables a radiologist to see the internal organ or tissue of a patient by making it more visible against the background of other tissues. So, too, with a crypto pilot. The piloted crypto, like a contrast dye, can help isolate and identify the potential opportunities and roadblocks to the broader adoption of crypto by the company.

Concluding thoughts
Onboarding the use of crypto and digital assets generally—with all their permutations and combinations—represents a significant commitment. It’s a much bigger decision than adopting a new form of payment. Adopting crypto calls for a broad rethinking of fundamental strategic questions and how the company intends to manage operational complexities.
The good news is the introduction of crypto to a company’s operations can be done incrementally. It’s important that the internal and external players begin to invest the time and effort required to succeed when the company is ready to take the first steps. Everyone should engage, from the board and its committees to risk, treasury, finance, tax, accounting, operations, technology, communications, and legal departments.

Adoption will likely require new processes and controls that span departments. Engaging with crypto requires players, inside and outside of the enterprise, to adjust their thinking and get comfortable with new realities across a broad spectrum of activity. That’s also why strong leadership from the C-suite is indispensable to any effort.

The adoption and use of crypto and, more broadly, digital assets, is gaining traction across industries. Customers and service providers alike are beginning to see more fully the potential benefits of crypto. So, companies should consider leaning in and examining the relevance and application of crypto to their business. And executives should be prepared to provide a clear point of view and substantiated recommendations for an appropriate course of action

Reference : https://www2.deloitte.com/us/en/pages/audit/articles/corporates-using-crypto.html

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