Bitcoin has recouped its losses from recent sales, following news that the world's oldest cryptocurrency will soon arrive in hundreds of US banks. Our data shows that bitcoin is hovering around $ 57 at press time, with daily gains of around 5%.
Bitcoin holders received an award from the pioneering cryptocurrency coin, which had spent most of the week watching from the sidelines as the other altcoins enjoyed monstrous rises.
Bitcoin is coming to US banks
Stone Ridge's cryptocurrency custody subsidiary NYDIG (New Digital Investment Group) has partnered with Florida-based banking software provider Fidelity National Information Services (FIS) to provide the necessary infrastructure, according to a CNBC report. to US banks and allow their customers to buy, sell and own bitcoins on their accounts. This industry's first cryptocurrency offering is expected to be released in the coming months.
NYDIG's head of banking solutions, Patrick Sell, told CNBC that hundreds of banks have already signed up for the program. "What we are doing is making it easy for Americans and everyday companies to be able to buy bitcoin through their existing banking relationships," he added.
The ability to buy bitcoin directly from personal bank accounts serves as a game changer for mainstream crypto adoption. Instead of registering on cryptocurrency exchanges, investors can trade directly from their existing accounts.
Smaller banks will have a clear path
While platforms like Robinhood, PayPal (PayPal shares - ticker PPL), Coinbase and Square are currently the go-to for cryptocurrency users wishing to buy bitcoin, banks want to attract some cryptocurrency enthusiasts in order to make a good profit, according to NYDIG president Yan Zhao.
“These aren't just banks that think their customers want bitcoin, they're saying 'We have to do this, because we see the data.' They are seeing deposits going to Coinbase, Galaxies and Krakens all over the world ”.
In particular, the smaller banks make up the majority of financial institutions that have agreed to participate in this program. However, FIS head of digital banking Rob Lee notes that giants like JPMorgan Chase & Co. and Bank of America will be inclined to get on board. This is right after smaller banks start wreaking havoc with their support for cryptocurrencies.
After launching this service for bitcoin, NYDIG's future plans include the launch of rewards for debit cards paid for in bitcoin. Additionally, there would also be a new type of FDIC-insured bank account that will pay interest in bitcoins.
And what do you think of the mainstream adoption of cryptocurrencies? Have you already started investing in digital currencies or are you still waiting? Let us know in the comments below.