10,000 Financial Institutions Can Now Let Customers Buy, Sell, Hold Bitcoin Through Their Bank Accounts
Banks and credit unions of all sizes can now facilitate the buying, selling, and holding of bitcoin within their banking platforms thanks to a collaboration between Finserv and New York Digital Investment Group (NYDIG). Finserv currently has about 10,000 financial institution clients.
All Banks Can Now Let Customers Buy, Sell, Hold Bitcoin via Bank Accounts
Finserv Inc. (NASDAQ: FISV), a global leader in payments and financial technology, announced Wednesday that “Banks and credit unions of all sizes can facilitate buying, selling, and holding bitcoin within their digital banking platforms.”
To enable the bitcoin option, Finserv has integrated with New York Digital Investment Group (NYDIG), a bitcoin technology and financial services subsidiary of Stone Ridge, a $10 billion alternative asset manager.
Finserv has nearly 10,000 financial institution clients, almost 6 million merchant locations globally, and 100 million digital banking users, its website details. A member of the S&P 500 Index and the Fortune 500, the company claims to facilitate more than 12k financial transactions per second.
The announcement explains that “the integration with NYDIG will allow consumers to manage bitcoin transactions directly within their financial institution’s online and mobile banking portals, providing users an easy way to buy, sell and hold the popular digital asset through their trusted financial institutions.”
Byron Vielehr, chief digital and data officer at Finserv, commented:
Interest in cryptocurrency, and particularly bitcoin, has skyrocketed over the past several years, to the point that bitcoin investing is now a commonplace activity.
“People continue to turn to financial institutions as a central place to manage their financial activity, and being able to offer this capability will help position banks and credit unions at the forefront of their customers’ financial lives,” the announcement continues.
California-based First Foundation Bank (NASDAQ: FFWM) is already working with Finserv and NYDIG to offer the bitcoin option to its customers. CEO Scott F. Kavanaugh commented:
Digital assets have caught the eye of consumers and investors. If our industry is truly committed to innovation and the financial future of our clients, we need to lead in this area and help create a secure and trusted platform for using bitcoin for everyday financial matters.
In addition to enabling banks to allow their customers to buy, sell and hold bitcoin within their bank accounts, Finserv and NYDIG are “working toward implementing additional functionality, including the ability for banks to implement bitcoin-based rewards programs,” the announcement notes.
Do you think all banks and credit unions should provide the option for customers to buy and sell bitcoin on their platforms? Let us know in the comments section below.