2 American banks seduced by Bitcoin: the dollar, has been?

These 2 American banks offer their customers transactions in Bitcoin, while more and more Americans are looking for this type of service.

Banks and Bitcoin Transactions: Five Star Bank and Financial Credit Union Offer

Five Star Bank in New York and UNIFY Financial Credit Union in California are now offering Bitcoin transactions via the platform of Q2 Holdings and New York Digital Investment Group (NYDIG). Through this platform, customers will be able to interact directly with Bitcoin, and both buy and sell Bitcoin directly from their favorite apps. They can also see their BTC balance next to their fiat accounts.

Q2 Executive Vice President Jonathan Price says the app’s interface contains 10 educational tabs, providing details as to how the Bitcoin blockchain works.

Q2 has several customers in its early adaptation phase, he says. The group also expects a “wave of new customers from financial institutions” to arrive soon. Price also said that the offering will be available by early 2022, for at least 450 banks and credit unions, which use Q2’s banking platform.

Bitcoin and altcoins in bank vaults: meeting a growing customer need

Cryptocurrencies are increasingly infiltrating the mainstream financial world. In June 2021, NYDIG revealed its partnership with NCR Corporation, a collaboration allowing 650 banks and credit unions to offer bitcoin purchases. More recently, Brazilian bank BTG Pactuel announced in September 2021 the launch of a new platform called Mynt for the exchange of bitcoins and ethers (ETH).

This plunge by U.S. banks and other traditional financial institutions into cryptocurrencies is a response to demand from their customers. Research from NYDIG indicates that more than 20% of American adults own bitcoins, and 80% of them want to store them directly with their bank.

The number of US banks converting to cryptocurrencies continues to grow. US Bank, a subsidiary of U.S. Bancorp which is the 5th largest banking group in the U.S., had announced on October 5, 2021 its partnership with NYDG to offer cryptocurrency custody services to its customers.