Cryptocurrency is any form of virtual currency that uses cryptography to secure transactions. These cryptocurrencies don’t have a central regulating authority; they use a decentralized and encrypted system to record payments digitally. Many choose cryptocurrency due to its decentralized nature; no big body or government interference takes away any third-party involvement. Launched in 2009, Bitcoin was the first cryptocurrency on the market and remains the most popular. Coinmetrics states that over $7 trillion of Bitcoin has been transferred since 2009.
Other popular cryptocurrencies include Litecoin (similar to Bitcoin but can perform faster payments), Ethereum (a blockchain platform with its cryptocurrency), and ZCash. Cryptocurrencies can be mined (using computers to solve complicated mathematical problems that generate coins), purchased from exchanges, and rewarded for work completed on a blockchain. However, due to the unregulated nature of crypto, the retail world typically forbids using the currency as a payment method – it’s rare to see an e-commerce site allowing you to buy their products using Bitcoin. The key selling point of investing in crypto is that it enables users to take complete control of their finances. For those unfamiliar with the market, what’s important to remember is that if you find yourself owning crypto, you don’t own anything tangible. Instead, you hold a key that allows you to move a measure of the unit, peer-to-peer through open-source networks.
Many crypto users seek crypto-friendly banks as technology advances and traditional practices become digitalized. These banks may allow customers to buy, sell, and hold cryptocurrencies, facilitate transactions with the crypto exchange and provide crypto-related financial services. Let’s look into the most frequently used banks for the average crypto user.
Revolut is a British-Lithuanian neo-bank founded in 2015. They offer services, including debit accounts with a linked debit card, stock trading, investment opportunities, the ability to track spending, and currency exchange. Most notably, the digital bank supports cryptocurrency use. Revolut customers can buy Bitcoin through its smartphone app and set up an automatic setting to have the bank purchase cryptocurrency when the exchange rate reaches a specific price. Customers also have the option to buy back this deposit if they want, giving users flexibility. With over 28 million users, Revolut is a solid choice for any crypto enthusiast.
US-based Bankprov is a full-service bank that accepts cryptocurrency. The financial institution also offers savings accounts, personal and business loans, debit and credit cards, mortgages, and cash management services. In addition, companies using Bankprov already involved in cryptocurrency can access Bitcoin ATMs and lines of credit backed by crypto and API banking.
Black Banx is a digital banking service launched in 2015 by German billionaire and CEO Michael Gastauer. A trusted platform with over 20 million customers and recorded revenue of $1.1bn in 2022, Black Banx is fighting its way to the top of the fintech industry. With a mission to unlock a borderless financial system for everyone, the service is committed to providing a customer-focused platform to manage and grow customer funds.
One way they do this is through their unique approach to crypto. Black Banx offers accounts to private individuals and business customers in 28 FIAT and two cryptocurrencies, international payments in 28 FIAT and two cryptocurrencies using local instant settlement status where possible, inter-platform instant payments in 28 FIAT and two cryptocurrencies, and real-time 24/7 trading services. Its unique cryptocurrency proposition offers clients autonomy by connecting their fully-fledged banking platform with the features of crypto exchange.
Customers can use Black Banx to pay third parties directly from the platform using their crypto balance. Having a wide range of cryptocurrency services on offer makes Black Banx a favorite choice when handling crypto.
The majority of fintech doesn’t offer this service. Instead, they require users to hold their crypto assets within the particular fintech’s benefits, which is a disadvantage. If the company collapsed as crypto exchange FTX did in November 2022, then all of a customer's crypto assets would go down.
Black Banx understands the crypto world. Providers like Black Banx can be used to convert FIAT money into cryptocurrency and store it within cold wallets on a different device.
How do you buy cryptocurrency?
Cryptocurrency can be purchased from crypto exchanges or through a broker. Traditional brokers offer ways to buy and sell cryptocurrency, stocks, and bonds. Brokers tend to offer lower trading fees but fewer features, making them a popular choice for those starting out and not well-versed in the crypto market. Cryptocurrency exchanges provide wallet storage, different cryptocurrencies, and interest-bearing account options. In addition, most cryptocurrencies allow customers to purchase crypto using government-issued currency (FIAT) by either debit or credit card.
Crypto-friendly banks are being sourced out more frequently than ever by users worldwide. The decentralized crypto component has made it an ever-increasingly popular choice for transactions and investing, with customers looking for banks that support their needs. Whilst Revolut and Bankprov provide high-end cryptocurrency services and regular digital banking features, Black Banx makes crypto trading more manageable. Offering crypto trading with no maximum limit, instant account set-up, instant cryptocurrency conversion to 28 FIAT currencies, and bank wires to third parties worldwide, Black Banx is ideal for any company looking for a crypto-accessible bank.
