Almost 24 million customers of banks and credit unions can buy cryptocurrencies through their accounts.
Bitcoin is the most popular cryptocurrency among institutional buyers
About 650 US banks and credit unions will provide access to Bitcoin and cryptocurrency trading for millions of customers.
This is after the collaboration between the financial institutions and the corporate payment company National Cash Register (NCR) and the digital asset management platform NYDIG, Forbes reported.
The initiative enables customers to buy and trade Bitcoin directly from their accounts, with the regulatory framework allowing them to hold cryptocurrencies provided by NYDIG’s custody services.
Project for 24 million customers
Almost 24 million customers will have access to crypto purchases and trading services through mobile apps developed by the NCR.
While customers can buy directly with their accounts, the cryptocurrency they buy comes from regulated digital asset exchanges and OTC desks, so banks can offer it at a slight markup to account for the investment advice provided.
On the other hand, the custody provider NYDIG receives a fee that the bank pays per user per month.
According to Patrick Sells, Head of Bank Solutions at NYDIG, users should benefit from lower transaction fees through this agreement. However, banks will have leeway in the size of the transaction fee, suggesting different fees between different banks.
Expansion into “multi vertical markets”
NCR has been operating for over 130 years and currently provides financial services to thousands of customers. Since crypto is in the limelight due to the increased interest from institutional and private investors, there are plans to expand these services even further.
“We have a broader ambition to do a variety of things with crypto that will extend to our multivertical markets, retailers, and restaurants“Said Brown Brown Forbes.
NCR is present in 160 countries and provides services such as digital banking, ATMs and payment services to thousands of restaurants and retail outlets.
The company plans to bring crypto payments to 200,000 restaurants and retail stores, while also making its 800,000 ATMs available for Bitcoin purchases.