The Provident Bank has now started offering deposit services for businesses related to cryptocurrency. The commercial bank which is based in Massachusetts, which is a subsidiary of Provident Bancrop, Inc. it has become one of the few U.S. banks which offer banking services to companies dealing with cryptoassets.
The Provident Bank, an American community bank, now offers deposit services to digital currency-related customers. The Bank is now offering deposits and all the other banking services to cryptocurrency issuers, investors and exchanges.
The bank has deployed Bitfury’s blockchain analytics tool called Crystal. The tool maps the cryptocurrency transactions and puts forwards any suspicious parties or funds. This tool will make sure that the new clients are compatible with the Anti-Money Laundering procedures along with Know Your Customer procedures.
Moreover, the bank has also claimes that they will provide full insurance to customers’ deposits. This will be possible because of the Bank’s affiliation with the Depositors Insurance Fund. The CEO of The Provident Bank, Dave Mansfield said:
“The Provident team developed robust measures to ensure our strategy will not only be effective from a regulatory compliance perspective but will also allow for our clients to have certainty in a long term banking relationship. That’s why we partnered with top U.S. technology companies to work with us on this new venture.”
To this, Marina Khaustova, the CEO of Bitfury said that it is their honor to collaborate with The Provident Bank in extending the banking services. She further added that the company is looking forward to this partnership and looks forward to providing its leading products.
One of the major issues that Crypto lovers and companies have always faced is access to legitimate banking services. With one bank providing the insured banking services, other Banks might take steps in the same direction. This has come out as one of the positive steps towards the cryptocurrency in the USA. As traditional banks have always had an unsteady relationship with the cryptocurrency industry.
Do you think this is one of the indications that cryptocurrency has a brighter future than anyone thought? Do you think more banks will follow the same path as The Provident Bank?
Let us know in the comments section below.