Vast Bank clients will be able to buy, sell and store cryptocurrencies on checking accounts insured by the FDIC. The financial institution was the first in the United States to receive such authorization from the Office of the Comptroller of the Currency within the U.S. Department of the Treasury (OCC) and the Fed.
\n\n
JUST IN – Vast Bank is now the first federally chartered U.S. bank to let customers buy and sell #Bitcoin from checking accounts 🙌 pic.twitter.com/xMG37OJhGP
— Bitcoin Magazine (@BitcoinMagazine) September 2, 2021
The instant settlement option will be available, including via the bank’s mobile trading platform.
\n\n
The list of assets includes Bitcoin, Ethereum, Cardano (ADA), Filecoin (FIL), Litecoin (LTC), Orchid (OXT) and Algorand (ALGO), according to Forbes.
\n\n
Client fiat balances on checking accounts up to $250,000 are FDIC-insured. The crypto assets purchased with those funds are protected by Coinbase’s insurance policy.
\n\n
“We comply with regulation, we will do the right things — all to keep the financial system intact and safe,” commented Brad Skrivner, CEO of Vast Bank.
\n\n
According to the executive, the bank’s service will suit clients who do not have the time or desire to learn to custody cryptocurrencies themselves. The initiative aims not only to meet their current needs but also to anticipate future demand.
\n\n
Skrivner cited Gallup data showing that 60% of bank customers were interested in digital assets if financial institutions offered custodial services.
\n\n
The bank plans to add in the future the ability to deposit/withdraw cryptocurrencies to external wallets.
\n\n
Vast Bank began considering adding digital assets to its product line in July 2020. This followed the OCC’s decision to allow banks to provide custody services for cryptocurrencies.
\n\n
As reported in August Circle announced plans to become a “commercial cryptocurrency bank with полным резервированием.” Its activities will be regulated in accordance with the Federal Reserve, the U.S. Treasury, the OCC and FDIC’s risk-management requirements.
\n\n
Follow ForkLog news on Facebook!