US Bank to Offer Bitcoin Custody Services

U.S. Bank, a major retail bank in the United States, is set to announce the launch of a cryptocurrency custody service with availability to fund managers. According to CNBC, the new service will enable investment managers to store private keys for Bitcoin Bitcoin While some may still be wondering what is Bitcoin, who created Bitcoin, or how does Bitcoin work, one thing is certain: Bitcoin has changed the world.No one can remain indifferent to this revolutionary, decentralized, digital asset nor to its blockchain technology.In fact, we’ve gone a long way ever since a Florida resident Laszlo Hanyecz made BTC’s first official commercial transaction with a real company by trading 10,000 Bitcoins for 2 pizzas at his local Papa John’s.One could now argue that While some may still be wondering what is Bitcoin, who created Bitcoin, or how does Bitcoin work, one thing is certain: Bitcoin has changed the world.No one can remain indifferent to this revolutionary, decentralized, digital asset nor to its blockchain technology.In fact, we’ve gone a long way ever since a Florida resident Laszlo Hanyecz made BTC’s first official commercial transaction with a real company by trading 10,000 Bitcoins for 2 pizzas at his local Papa John’s.One could now argue that Read this Term (BTC), Bitcoin Cash (BCH) and Litecoin (LTC) via NYDIG, a sub-custodian.

Gunjan Kedia first hinted at the news, the Vice-Chairwoman of the bank’s wealth management and investment services division in U.S. Bank. However, more cryptos are expected to be added to the new custody service. The manoeuvre comes in the wake of other major banks joining the crypto bandwagon by enabling related offerings, specifically in the US.

“Our clients are getting very serious about the potential of cryptocurrency as a diversified asset class. I don’t believe there’s a single asset manager that isn’t thinking about it right now,” Kedia commented in an interview quoted by CNBC. “What we were hearing across the board, is that while every currency might not survive, there may not be room for thousands of coins. There’s something about the potential of this asset class and the underlying technology that would be prudent for us to stand up support for it,” she added.

Service Availability

In an initial phase, the product is only aimed at institutional managers with private funds in the United States and the Cayman Islands, according to the banking institution. Still, Kedia commented the following on Bitcoin ETFs: “We have a lot of funds [for investors that] are hoping to invest in ETFs. Some literally want custody contracts signed the day the SEC approves an ETF.”

Recently, Interactive Brokers LLC (NASDAQ: IBKR) announced the official launch of its cryptocurrency trading services through Paxos, a Blockchain Blockchain Blockchain comprises a digital network of blocks with a comprehensive ledger of transactions made in a cryptocurrency such as Bitcoin or other altcoins.One of the signature features of blockchain is that it is maintained across more than one computer. The ledger can be public or private (permissioned.) In this sense, blockchain is immune to the manipulation of data making it not only open but verifiable. Because a blockchain is stored across a network of computers, it is very difficult to tampe Blockchain comprises a digital network of blocks with a comprehensive ledger of transactions made in a cryptocurrency such as Bitcoin or other altcoins.One of the signature features of blockchain is that it is maintained across more than one computer. The ledger can be public or private (permissioned.) In this sense, blockchain is immune to the manipulation of data making it not only open but verifiable. Because a blockchain is stored across a network of computers, it is very difficult to tampe Read this Term infrastructure platform. The firm said that crypto trading on the platform would have commissions of between 0.12% and 0.18% of the trade value, depending on the monthly volume.