On February 4, Vast Bank revealed they have partnered with highly acclaimed exchange platform Coinbase. The bank made a move to achieve a complete end-to-end digital currency transaction successfully. Vast Bank, which enlisted the services of SAP a few years back, is looking to broaden its capabilities in terms of cryptocurrency service provision.
The financial institution claims to be the first financially chartered entity to acquire and avail digital assets custody services in their clients’ capacity and directly from their banking wallets. According to several Banking news sources, the quantity of digital assets currently at the bank’s disposal is approximately $744 million.
With SAP banking services, Vast Bank aims to develop digital finance by bringing crypto closer to their clients.
Banks Respond to OCC’s Green Light
The CEO of Vast Bank, Brad Scrivner, said that digital asset transactions had been a long-term plan for the institution. Brad also said that after OCC gave the go sign-on digital asset banking, they felt the need to hasten the provision of cryptocurrency services. The OCC recently approved the rule for banks to store stablecoins and provide custody services to their clients.
“We are beyond excited to have the ability to offer tightly integrated bank and cryptocurrency services to our customers and Fintech partners,” Brad admitted to his drive to avail digital asset services to customers. Whether more financial institutions will follow Vast Bank’s route with digital currencies is unknown but likely to happen.
Vast Bank also mentioned it’s giving clients access to several exchanges, massive liquidity, algorithmic order execution, and will help them manage their cryptocurrency wallets. Clients will be able to purchase and store crypto just as they do with fiat currencies.
The OCC looks to be driving financial institutions to adopt the use of digital currencies. Many merchants find it troublesome to obtain crypto. By providing digital asset services in Banks, more people will easily buy crypto and increase the uptake of crypto assets.
Digitizing Financial Services
The move by Vast Bank to partner with Coinbase spells the start of a fully digital financial era. After the emergence of COVID-19, it is evident that the number of banks operating on digital currencies is increasing by the day. Additionally, upward price trends of cryptos such as BTC and ETH are drawing more investors towards cryptocurrency investment. Banks should be able to find ways to include cryptocurrency custody services to their customers.
The OCC released regulations to govern the use of stablecoins in banks earlier this year. The incentive shows that times in the financial world are changing, and digital finance is picking steam as the financial year 2021 continues.