US Bank, the fifth-largest bank in the country, has announced that it will begin offering custodial services for Bitcoin, Bitcoin Cash and Litecoin. The new service will be made available to fund managers and will be facilitated with the help of NYDIG.
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The vice chair of the bank's wealth management and investment services division, Gunjan Kedia, said that clients of the Bank are getting more serious about cryptocurrency as a tool for diversification.
“Our clients are getting very serious about the potential of cryptocurrency as a diversified asset class. I don’t believe there’s a single asset manager that isn’t thinking about it right now.”
The bank's move represents a growing trend among large financial institutions getting into the crypto space to accommodate customers. Kedia added to her comments and said that while every cryptocurrency may not survive, the technology will likely be important in the future.
“What we were hearing across the board, is that while every currency might not survive – there may not be room for thousands of coins— there’s something about the potential of this asset class and the underlying technology that would be prudent for us to stand up support for it,” she said.
This story is developing.