5th Biggest US bank will provide crypto custody service
US bank partnered with the New York Digital Investment Group to provide custody for the flagship crypto assets.
In the present time, banks are also giving their better contribution in the crypto industry by giving support of their custody. In the latest U.S. bank entered in this field.
In a recent interview with CNBC, Gunjan Kedia, a senior executive at U.S. Bank’s wealth management and investment division of U.S. bank, said that they established a partnership with the New York Digital Investment Group (NYDIG).
Right now, U.S. Bank will provide custody for Bitcoin, Bitcoin Cash and Litecoin only. But further over time, banks will roll out their custody services for the Ethereum-like crypto assets also.
The main reason to get into operation to provide custody service for the NYDIG by the US bank is because of the increasing demand and need of the traditional financial institutions support in the industry to establish a better trust among the institutional Digital assets investors.
US bank is not alone in this list to provide custody, before this State Street, Bank of New York Mellon and Northern Trust are providing their custody services for the crypto assets.
Increasing demand of Fund managers and financial institutions
In the recent year, the demand of Digital assets based Investment among the Fund managers like firms increased rapidly. In particular, we can say a rapid surge took place since May 2020, where experts claimed that the price of Bitcoin will pump Because of the Bitcoin fork event.
In the present time, Grayscale‘s Bitcoin Trust is a best product for the wealthy Investors to get into crypto Investment at larger scale. Hopely these banks are coming to support digital assets based services, which is increasing the adoption.
Read also: PepsiCo CFO Says Bitcoin still too volatile
