Cryptocurrencies are now more than just a trend. They have become an integral part of the global financial ecosystem with over 420 million people using or interacting with cryptocurrencies worldwide. While the biggest adopter of cryptocurrencies is the USA, Asian countries such as India and Vietnam are not far behind. This number is expected to rise exponentially over the coming years.
With such a tremendous rise in the popularity of cryptocurrencies comes an urgent demand to offer even more optimized services. One of these services is crypto banks or crypto-friendly banks. There is a major difference between crypto banks and crypto-friendly banks. While crypto banks are designed for cryptocurrencies and digital assets, crypto-friendly banks are traditional banks that offer services for cryptocurrencies.
Difference between Crypto Banks and Crypto-Friendly Banks
Crypto banks are designed specifically for cryptocurrencies. They are decentralized and are powered by blockchain technology. A good example of a crypto bank is Scallop. Scallop is a Banking-as-a-Service platform that offers a range of crypto apps, and crypto bank accounts, and facilitates crypto transactions. You can create a crypto bank account, participate in crypto investing, and avail of several other features and services.
On the other hand, crypto-friendly banks are traditional and centralized banks that allow their members to facilitate crypto transactions using digital apps or banking cards. Not all banks accept cryptocurrencies and might even flag transactions that seem fraudulent. Let’s take a look at some of the best crypto-friendly banks in 2024.
Top Crypto-Friendly Banks
This list of the best crypto-friendly banks is based on the availability and accessibility of various features such as crypto banking apps, crypto investing strategies, crypto bank accounts, and more. In no particular order, these are the best banks for cryptocurrency.
JP Morgan Chase
JP Morgan Chase, one of the largest global financial institutions and a key player in the traditional financial institution has entered the crypto space. The bank introduced JPM Coin to facilitate instant cross-border payments among institutional clients. The institutions offer crypto-friendly banking services for selected exchanges and digital asset firms.
JP Morgan focuses on compliance and risk management while offering comprehensive institutional-grade research on crypto markets.
Revolut is a UK-based fintech project that offers a variety of services such as crypto trading within its crypto banking app. The bank supports over 30 cryptocurrencies and simplifies the process of selling, buying, and holding digital assets.
The key features of Revolut include a user-friendly platform for simplified crypto transactions and support for multiple cryptocurrencies. There are various flexible purchase options, including auto-exchange at preset rates and bundled collections of tokens in DeFi and blockchain.
Juno is a crypto-friendly bank that is tailored for businesses and individuals in the crypto and blockchain space. The platform offers specialized crypto accounts with various features such as crypto-backed loans, trading, and savings. The project also offers various staking services to help users earn rewards by holding crypto assets.
Some key features of Juno include, Innovative Smart Treasury savings accounts for stablecoin traders and holders and deployment of advanced technologies such as AI and Machine Learning for personalized insights.
Wirex is not a crypto bank but offers payment cards by partnering with Mastercard. With support for both traditional and cryptocurrencies, it is a good choice for traders and users alike. Wirex has a range of services such as Web3-based free accounts, secured debit card services, 0% global foreign exchange fees, and passive income through staking.
They even have a free plan where users can earn more tokens to unlock DeFi opportunities and other features with top-tier plans. This paired with free ATM withdrawals makes Wirex a good crypto-friendly bank.
Monzo is a pioneer in the digital banking space and has now embraced decentralized finance to offer various crypto-related services. While the project does not directly offer crypto trading, customers can use their bank accounts on other crypto exchanges. By integrating this, users can monitor their crypto and non-crypto holding in a single place.
Monzo cards are usable on the majority of crypto exchanges and the platform supports faster payments to enable convenient fund management.
Ally Bank is a traditional online customer-centric bank that does not offer direct crypto services. Instead, it allows its customers to use their bank accounts on external crypto exchanges for trading. The platform offers digital tools and services that can help in managing finances and benefit traders. Moreover, Ally is an FDIC-insured US bank, known for its transparent fee structure and competitive interest rates.
Additionally, Ally Bank offers higher APYs on fiat than the majority of banks and offers a range of investment options, which includes crypto funds.
Cash App is a comprehensive financial platform that was originally designed to enable peer-to-peer payments. Developed by Square, the mobile app offers a full-service banking experience where users can obtain a Cash App debit card, receive transfers and direct deposits, and more.
Cash App empowers users to invest in traditional stocks and cryptocurrencies with the unique capability to deposit and withdraw Bitcoin directly to and from personal wallets.
BankProv also known as Provident Bank is a US-based financial institution that specializes in crypto-friendly banking services. The bank offers the ability to create accounts for cryptocurrency businesses and enable asset management for crypto traders. The bank also facilitates cryptocurrency exchanges and other businesses while ensuring compliance with the regulations and anti-money laundering requirements.
BankProv enables conversion between crypto and fiat and has competitive interest rates on crypto lending as one of the most trusted traditional banks.
Mercury offers tailored business banking solutions to Web3 companies. While the platform does not allow users to hold crypt directly in the account, users can buy cryptocurrencies using the account. Mercury also has a Vault that extends FDIC insurance coverage of up to $5 million and its Treasury products offer an attractive yield for a balance over $500,000.
Mercury incurs no monthly maintenance fees and can be integrated with various platforms and offers cashback bonuses.
Quonic is a US-based community bank popular for its association with fintech companies in the blockchain and crypto space. The platform offers interest-bearing accounts for crypto assets, where users can earn passive income on their digital assets.
Quonic is a traditional bank with crypto-friendly policies and offers Bitcoin rewards for checking accounts with cashback on all purchases.
These are some of the best crypto-friendly banks in 2024 that you should look for. When picking a crypto-friendly bank, there are various things to consider such as the ability to hold crypto and fiat currencies, crypto cards, integration with crypto exchanges and wallets, crypto-powered banking services, trading crypto with cards, low transaction fees and monthly charges, etc.
Also, it is important to look for a crypto bank with active users and good reviews. Reputed institutions such as JP Morgan Chase, Scallop, and Revolut are good options.
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