Around 300 community banks in US are reportedly set to begin offering Bitcoin trading via mobile apps in response to high demand from clients
According to a report by American Banker, over 300 community banks in the United States are considering offering Bitcoin trading to their consumers in the first or second quarter of 2022 via the assistance of Bitcoin business NYDIG. The American Bankers Association and the Independent Community Bankers of America, according to the article, have invested in NYDIG as part of the campaign.
“A subsidiary of Stone Ridge, a holding company that has led the formation of forward-thinking enterprises spanning the worlds of technology and finance, including a $12 billion+ alternative asset manager,” according to NYDIG’s website. It offers “Bitcoin products in a variety of businesses, including banking and insurance, as well as technology and charities.”
Harold Reynolds, CEO of BankSouth, a Georgia-based financial institution with more than $1.3 billion in assets, said: “We have seen significant activity in cryptocurrency transactions from our customer accounts, and a few investments have been rather large, so that is obviously getting our attention.“
Brad Scrivner, CEO of Vast Bank, commented at the time: “We take pride in getting to know our customers, and that starts with listening. At the heart of many of these conversations is crypto. For quite some time, our customers have been asking why they cannot securely purchase the likes of Bitcoin using their bank account, citing concerns over trustworthiness, safety, and the security of other platforms—all issues which have kept many consumers parked on the sidelines of the crypto phenomenon. We took this challenge head-on and devoted significant resources to answer this unmet need. We’re excited to bring this service online, and give all consumers the opportunity to explore the world of cryptocurrencies in a way that brings peace of mind that only a bank like Vast can provide.“
According to a press release published on 4 February 2021 by Oklahoma-based Vast Bank, the bank “successfully executed” a “end-to-end cryptocurrency transaction” on 27 January 2021 through a partnership with Coinbase, becoming the first nationalized financial institution to buy and custody digital assets on behalf of a customer directly from their bank account.