Get the Best Crypto Friendly Banks for Easy Transactions

Crypto Transactions and Banking Basics

Crypto friendly banks are banks that accept digital assets, services for crypto users and businesses. They bridge the gap between traditional finance and the rapidly changing world of digital currencies. As the crypto market grows, more traditional banks are recognizing the potential of blockchain and adapting their services to accept crypto transactions. These banks offer crypto friendly banking services, providing a comprehensive range of solutions such as managing both fiat and digital currencies, competitive exchange rates, and innovative features like crypto cards and loans, all while maintaining a strong focus on compliance with regulatory standards. This is driven by increasing demand from investors and businesses wanting secure and compliant ways to interact with digital assets.

Choosing the right crypto friendly bank is key to easy and secure transactions and regulatory compliance. They offer a range of services from basic crypto buying and selling to more advanced features like crypto backed loans and integration with DeFi platforms. Many crypto friendly banks operate globally serving investors and businesses across different countries which is especially useful given the borderless nature of crypto. As the crypto space matures the role of these banks in mainstream adoption and bridging traditional and digital finance will become even more important. If you’re interested in exploring ways to acquire Bitcoin or other tokens, you can read more about how to Buy Crypto.

Crypto Friendly Banking Benefits

Choosing a crypto friendly bank gives individuals and businesses in the digital asset space many advantages. They emphasize compliance and risk management to navigate the complex regulatory landscape and enhance client trust. They provide extra security and compliance measures specifically for managing crypto, so your digital assets are protected from theft and fraud. The integration of traditional banking with crypto functionality means you can manage fiat and digital currencies in one place and streamline your financials. Crypto friendly banks offer services like crypto backed loans, digital asset custody and trading platforms so you can use your crypto for various financial needs. They also have lower tax rates than traditional banks which can be a big financial benefit for businesses. The accessibility of crypto friendly banks reduces the barrier to entry for individuals and companies looking to get into digital assets and will drive wider adoption and innovation in the crypto space.

Revolut

Revolut, the UK based digital bank, has just got its long awaited UK banking licence. A major milestone in their journey to compete with traditional banks. The fintech company has over 9 million UK customers and 45+ million globally and offers crypto trading, seamless fiat to crypto exchange and digital asset management. Additionally, their asset management services are crucial for both crypto businesses and institutional investors navigating the cryptocurrency markets. Revolut’s user friendly app makes it a great option for retail investors looking to get into crypto. The company is currently in a one year “mobilisation” phase where they will build up their UK banking operations before they are fully operational. With their new licence and growth Revolut will bridge the gap between traditional banking and digital assets even more and potentially change the financial landscape for crypto enthusiasts in the UK, Europe and USA.

Wirex

Wirex is a UK based digital banking platform that offers a range of crypto friendly services across Europe and Asia-Pacific. The platform seamlessly integrates traditional financial services with digital finance, providing a comprehensive solution for users. The platform offers integrated crypto wallets and a multicurrency Wirex card that supports both fiat and cryptocurrencies so you can make seamless daily transactions. Wirex users can earn up to 8% rewards on purchases and get automatic point of sale currency conversion. The platform has high transaction limits, daily credit/debit card top ups of up to $25,000 and $500 daily ATM withdrawals with no balance limits. Wirex has also partnered with OpenPayd to offer named virtual IBANs to customers in the UK and European Economic Area so you can make instant transfers via Faster Payments and SEPA Instant Payments. This combination of traditional and digital finance makes Wirex a great choice if you want to include cryptocurrencies in your daily financial activity.

Juno

Juno is a US based digital banking platform that offers a mix of traditional banking services and cryptocurrency features. The platform gives you a personal account and routing number so you can make seamless transactions between fiat and crypto. Juno supports popular transfer methods like ACH and wire transfers so you can move funds between traditional and crypto accounts. The platform also offers a crypto friendly checking account where you can buy, sell and store cryptocurrencies like Bitcoin, Ethereum, Solana and Litecoin. However please note that Juno has recently experienced disruptions due to issues with their banking service provider and as of May 15, 2024 new account creations are paused and interest and cash back on accounts is discontinued. Despite these challenges Juno is still an option for US investors looking for a crypto friendly banking experience but please be aware of the current limitations and changes to the platform.

Monzo

Monzo is a UK based neobank that offers a crypto friendly approach while still being a traditional bank. Monzo doesn’t offer cryptocurrency trading within their app but you can use your bank account with various cryptocurrency exchanges. This integration allows you to see your cryptocurrency holdings alongside your regular banking transactions within the Monzo app. Monzo supports faster payments and direct debits to cryptocurrency exchanges so you can deposit and manage your funds for crypto easily. The bank may block transactions from time to time based on risk assessment like all regulated banks but generally Monzo is crypto friendly. Monzo even supports major exchanges like Coinbase so if you’re a UK resident looking for a balance between traditional banking and cryptocurrency investments then Monzo is a good option.

Ally Bank

Ally Bank is a US based online financial institution that offers a crypto friendly approach while still being a traditional bank. Ally Bank doesn’t offer direct cryptocurrency trading but you can use your account with external cryptocurrency exchanges that are FinCEN compliant. This integration allows you to transfer funds to platforms like Kraken that supports over 280 digital assets for trading and staking. Ally Bank also offers indirect exposure to cryptocurrencies through Ally Invest where you can invest in crypto specific funds, Bitcoin futures and stocks of crypto related companies. With their user friendly platform, competitive interest rates and no account minimums Ally Bank is a good option for US investors looking for a balance between traditional banking and cryptocurrency investments.

BankProv

BankProv, formerly The Provident Bank, is a US based bank that has positioned itself as a leader in crypto friendly banking. The bank offers solutions for crypto businesses and investors including deposit services, crypto backed loans and innovative payment rails. BankProv facilitates access to crypto markets through its comprehensive services, enabling seamless management of both fiat and digital assets. BankProv’s ProvXchange network allows for real time, 24/7 transfers between accounts, catering to the unique needs of the crypto community. The bank has partnered with compliance firms and blockchain analytics platforms to ensure regulatory compliance for digital asset clients. BankProv also provides Banking as a Service (BaaS) infrastructure to crypto trading platforms as seen with their partnership with Rocketplace, a California based crypto exchange. However it’s worth noting that BankProv has faced challenges in the volatile crypto market including significant loan losses related to crypto mining in 2022 which led to a change in leadership and a reevaluation of their crypto lending practices.

Cash App

Cash App is a US based financial platform that allows you to buy, sell and hold Bitcoin in a super easy way. You can purchase Bitcoin instantly in any amount and set up automatic recurring purchases. Cash App provides a cold storage solution for Bitcoin so you’re safe. One of the unique features is the ability to round up every day purchases to the nearest dollar and invest the change in Bitcoin making it easy for beginners to start accumulating cryptocurrency. Cash App also supports Lightning Network so you can send free international Bitcoin transfers. For those new to cryptocurrency Cash App simplifies the process by being a Bitcoin wallet and storing your private keys so you have instant access to your funds. However please note that Bitcoin investments through Cash App are not FDIC insured and you should be aware of the tax implications when buying or selling Bitcoin.

Quontic Bank

Quontic Bank, a US based digital bank, offers crypto friendly services including the first ever Bitcoin Rewards Checking account. This account allows customers to earn 1.5% in Bitcoin on eligible debit card purchases, a way for both crypto enthusiasts and beginners to accumulate Bitcoin through everyday transactions. The account comes with a debit card, mobile app access and over 90,000 surcharge free ATMs all with no monthly service fees. Quontic partners with NYDIG for Bitcoin custody and FIS for digital experiences. The Bitcoin rewards program is currently only available to residents of select states but Quontic’s approach shows the growing integration of traditional banking with crypto services and gives customers the opportunity to engage with digital assets through everyday banking activities.

Mercury

Mercury is a US based digital banking platform for startups including those in the crypto industry. The company offers crypto friendly business accounts with no monthly fees and up to $5 million in FDIC insurance through partner banks and sweep networks. Mercury’s services include seamless integration with crypto platforms so you can manage both fiat and digital assets. The platform supports domestic and international transfers in over 30 currencies so it’s great for global crypto operations. However please note that Mercury has recently updated their eligibility requirements and no longer services customers with business and residential addresses in certain countries including some African nations due to compliance reasons. Despite these changes Mercury is still a great option for US based startups and entrepreneurs in the crypto space with a range of financial tools and services tailored to the needs of digital asset businesses.

Onyx: JPMorgan’s Blockchain Solutions

JPMorgan Chase, one of the largest banks in the world, has been making big strides in integrating blockchain and cryptocurrency services into their offerings. The bank’s Onyx division launched in 2020 and is the first bank led blockchain platform for exchanging value, information and digital assets. One of the key innovations is JPM Coin, a permissioned system that allows participating clients to transfer US Dollars held on deposit within the system, to move liquidity funding and payments in real time. This blockchain solution enables programmable payments giving corporate clients more flexibility in transaction processing and treasury management. JPM Coin is used for around $1 billion in transactions daily, it’s growing fast. While primarily serving institutional investors and large corporations, JPMorgan Chase’s foray into blockchain and digital assets puts them at the forefront of bridging traditional finance with the crypto space.

Bank Frick

Bank Frick, a private bank in Liechtenstein, is a crypto pioneer in Europe. The bank offers a full range of digital asset services: secure custody, trading and staking for cryptocurrencies. Bank Frick has expanded its crypto services to include trading and custody for Cardano (ADA), Polkadot (DOT) and Tezos (XTZ) and other major cryptocurrencies. The bank’s staking service, launched in February 2023, allows cryptocurrency clients to earn interest like a savings account, initially for Tezos and Polkadot, with Ethereum 2.0 to follow. Bank Frick ensures regulatory compliance and security by having full control over delegated cryptocurrencies through self-custodial transactions, making it a great option for European investors looking for a regulated and safe environment for their crypto assets.

AMINA Bank

SEBA Bank, rebranded as AMINA Bank, is a Swiss regulated crypto bank offering a full range of digital asset services globally. Founded in 2018 and headquartered in Zug, Switzerland, AMINA Bank provides traditional and crypto banking services: crypto trading, asset tokenization, custody and staking. The bank has regulated hubs in Switzerland, Abu Dhabi and Hong Kong and serves institutional investors, professional traders and high net worth individuals. AMINA Bank offers a trading platform for equities, fixed income, ETFs and cryptocurrencies, digital asset management and custody services. The bank has secured crypto licenses in multiple jurisdictions, including Hong Kong, to demonstrate its commitment to regulatory compliance in the ever evolving digital asset landscape. With its Swiss banking heritage and focus on blockchain technology, AMINA Bank is the trusted option for global investors looking for a secure and regulated access to crypto banking services.

DBS Bank

DBS Bank, a leading bank in Singapore, is a crypto pioneer in the Asia-Pacific region for institutional clients. The bank launched its DBS Digital Exchange (DDEx) in 2020, a secure platform for trading cryptocurrencies and other digital assets. DDEx supports trading in 4 fiat currencies (SGD, USD, HKD, JPY) and 6 major cryptocurrencies (BTC, ETH, XRP etc). DBS also offers institutional grade digital asset custody solutions to secure clients’ digital assets. The bank’s crypto services are for accredited investors, financial institutions and family offices with a minimum investment of USD 500. DBS’ commitment to blockchain is evident in its significant investment, allocating about $600 million annually – half of its total tech budget – to experiment with new technologies, including blockchain. This makes DBS Bank the go-to option for institutional investors in the Asia-Pacific region looking for a trusted and regulated platform for their crypto investments and trading activities.

Mizuho Bank

Mizuho Bank, one of Japan’s largest banks, has been exploring blockchain and cryptocurrency services. The bank has developed blockchain applications for cross-border document sharing and digital currency transfer between subsidiaries. Mizuho is also joining Mitsubishi UFJ Financial Group’s stablecoin platform to provide instant, zero-cost cross-border transactions as an alternative to traditional trade finance. Mizuho has also launched a blockchain-based supply chain finance platform with Marubeni Corporation to make financing and settlement more efficient and transparent. While Mizuho’s crypto services are mainly for institutional clients and blockchain applications, the bank’s initiatives show its commitment to integrate digital asset technologies into the traditional banking sector, making it a good option for Japanese investors looking for a regulated entry point into the crypto space.

SBI Sumishin Net Bank

SBI Sumishin Net Bank, Japan’s leading digital bank, is a trailblazer in combining cryptocurrency and blockchain with traditional banking. Founded in 2007 as a joint venture between SBI Holdings and Sumitomo Mitsui Trust Bank, the bank offers a full range of digital banking services including deposits, settlements and loans. SBI Sumishin Net Bank has been at the forefront of cutting edge technologies like AI, blockchain and big data. The bank’s innovative approach includes developing a blockchain-based supply chain financing network with DLT Labs to connect with clients’ supply chain. Also, SBI Sumishin Net Bank has introduced the NEOBANK concept which provides banking functions via API to partner companies to create new financial services. With its focus on technological innovation and secure digital asset management, SBI Sumishin Net Bank is the go-to bank for tech-savvy Japanese investors to manage both traditional and crypto assets in a regulated banking environment.

Choosing Your Crypto Bank

When choosing a crypto-friendly bank, consider the following:

• Jurisdiction and regulatory compliance:

  • Is the bank legal in your country?

  • Is it regulated by a reputable financial authority?

  • Does it comply with AML and KYC regulations?

• Range of crypto services:

  • Cryptocurrency trading

  • Multiple cryptocurrencies supported

  • Crypto-to-fiat conversion

  • Crypto-backed loans or interest-earning accounts

  • DeFi integration

• Security and insurance:

  • Cold storage for digital assets

  • Multi-factor authentication

  • Regular security audits

  • Insurance for digital assets

  • Compliant with cybersecurity standards

• Integration with traditional banking:

  • Checking and savings accounts

  • Debit card for crypto spending

  • International wire transfers

  • Mobile banking app

• User experience and customer support:

  • Web and mobile interface

  • 24/7 customer support

  • Crypto education for beginners

  • Transparent fees

  • Deposit and withdrawal processing times

• Additional:

  • Minimum balance

  • Transaction limits

  • Geographical restrictions

  • Partnerships with major exchanges

By carefully evaluating these factors, you can choose a crypto-friendly bank that aligns with your financial goals and provides a secure, user-friendly experience for managing both traditional and digital assets. For those looking to use Bitcoin tokens with enhanced privacy, you can explore options like No KYC Crypto Wallets for more unrestricted transactions.

Crypto Banking Future

The crypto banking landscape is moving fast and there are many options for individuals and businesses to get involved in digital assets. As we’ve seen, there are banks all over the world that cater to crypto enthusiasts, from digital-first neobanks like Revolut and Wirex to traditional banks like JP Morgan Chase that are embracing blockchain.

When choosing a crypto friendly bank, you need to consider things like regulatory compliance, security and services. For example, Revolut is a great entry point for retail investors with its user friendly app and integrated crypto trading. AMINA Bank (formerly SEBA Bank) on the other hand offers more comprehensive services, including asset management and custody solutions for institutional clients.

Please note that the crypto banking landscape is evolving and policies and offerings can change. For example Juno had service disruptions recently, so you need to stay up to date with your chosen bank’s current status and offerings.

For those who want a balance between traditional and crypto banking, options like Monzo in the UK and Ally Bank in the US offer integration with third party crypto platforms while having robust traditional banking services. BankProv in the US on the other hand caters to crypto businesses and investors, offering crypto backed loans and blockchain solutions.

As the crypto banking space evolves we will see more innovation and more integration between traditional finance and digital assets. DBS in Singapore and Mizuho in Japan are already offering blockchain based financial services to institutional clients, so we will see more of this in the banking space.

In the end the choice of a crypto friendly bank will depend on your needs, location and level of crypto integration you want. As always do your research and consult with financial professionals before making big decisions on crypto banking.

Disclaimer

We do not provide financial advice. The information shared in this blog is for educational purposes only and should not be considered as financial guidance. It is crucial to check local legal regulations and guidelines before engaging in any cryptocurrency transactions, as certain jurisdictions can vary significantly depending on your jurisdiction. Additionally, we encourage you to conduct your own research (DYOR) and consult with a financial advisor to make informed decisions about buying, selling, or managing cryptocurrencies. Always consider your financial situation and risk tolerance before proceeding with any investment.