BNP Paribas enters crypto custody space

French Bank BNP Paribas (BNP) has announced that it is entering the cryptocurrency custody space.

This has been made possible through a partnership with Metaco, a Swiss digital asset safekeeping firm. The news was first reported by CoinDesk which cited people close to the matter.

A press release by Fireblocks, confirmed that the deal is happening and said that it is also involved in the new arrangement.

BNP Paribas is one of the first to try to enter the custody space, although many competitors are similarly interested to break ground in the sector.

What is holding them back is regulatory uncertainty. Rival French bank Societe Generale entered a similar deal with Metaco, encouraging BNP Paribas to follow the same pattern.

Metaco has managed to add several other financial institutions prior to BNP Paribas’ partnership. Some of them include Citigroup, BBVA, Zodia Custody, Union Bank Philippines and others.

The financial heavyweights will work together to provide security tokens, such as tokenized versions of stocks for example. The emphasis will be less on cryptocurrencies and more on traditional finance.

However, the latest move by the bank is a confirmation that there is significant room left for traditional banking representatives in the cryptocurrency sector.

However, regulatory uncertainty and the recent collapse of companies such as Celsius Network and Voyager may discourage some to act too rashly.

In the meantime, you can explore some of the best cryptocurrency casinos available to you – visit Bitcasino.io, 1xBit, or FortuneJack.

Source

Updated: 07/21/2022 — 11:00