Several crypto banks in the USA have been able to become successful and provide their services to the public. These include Barclays, Coinbase, Goldman Sachs, Bank of New York Mellon, and Revolut.
If you’re looking to get your feet wet in the world of cryptocurrency investing, these banks have proven time and time again to be honest, trustworthy, and potentially-lucrative places to do so.
However—before we begin—it is important to note that all investments are completely at your own risk. Investing also carries tax implications in the form of capital gains and capital losses. Not to worry though, there are free online tax calculators available, as well as other great financial tools that can really simplify that seldom-thought-of aspect.
Top 5 Crypto Bank in the USA
1. Bank of New York Mellon
Earlier this year, Bank of New York Mellon received approval from New York financial regulators to start receiving customers’ cryptocurrencies. This marks the first big US bank to launch crypto custody services. BNY Mellon plans to offer crypto custody services to select institutional clients in the United States. The company will also provide bookkeeping services for cryptocurrencies, similar to other assets.
In early 2021, BNY Mellon announced the creation of a digital assets group, which will build and develop technology solutions for a growing sector of the financial world. A survey of 271 institutional investors showed that over ninety percent were interested in investing in digital asset products. They were also looking for scalable financial infrastructure.
BNY Mellon will provide bookkeeping services for cryptocurrencies and expects to expand its offerings once it meets regulatory requirements. In addition, the company will continue to innovate with new technology, which will allow it to serve institutional investors.
2. Barclays
Founded in London in 1703, Barclays has become one of the world’s largest banks. It operates in over 40 countries. Barclays Bank provides personal and corporate banking, investment management and wealth management. Its US online banking division launched in 2012.
Barclays Bank provides a number of options for banking, including savings accounts, personal and corporate loans, credit cards, and AARP co-branded cards. Barclays Bank offers savings options with no minimum balance requirements or transaction limits. In addition, it offers online banking, mobile banking, and wealth management.
Barclays Bank has been investigated multiple times, including for tax avoidance and price manipulation. However, the bank has not been given regulatory approval by the U.K.’s Financial Conduct Authority.
Barclays has recently joined a consortium of the world’s biggest banks in testing a new financial technology called a smart contract. The technology has the potential to transform information sharing and information verification. The smart contract is a computer program that automatically executes contract terms when certain conditions are met.
3. Coinbase
Unlike traditional financial services firms, Coinbase is not regulated by the Federal Reserve or the FDIC. Despite this, it has managed to secure an e-money license from the New York Department of Financial Services. This means that the company can operate as a Qualified Custodian, which enables it to list new cryptocurrencies.
Coinbase also operates a debit card that allows customers to spend their crypto on merchants within the Visa network. Customers also have the option to earn crypto by taking exams and taking classes.
Coinbase is also planning to offer a crypto lending service. Unlike traditional banks, Coinbase will pay all depositors a fixed interest rate. In addition, the company will pocket the difference between the interest it pays to depositors and the interest it earns on loans.
4. Goldman Sachs
Earlier this month, Goldman Sachs made its first over-the-counter (OTC) crypto trade. This represents a huge milestone in the crypto derivatives market. The trade was executed with New York-based crypto investment firm Galaxy Digital. The two banks are reportedly trading non-deliverable options, which are derivatives tied to the price of bitcoin.
These options pay out in cash at maturity. It’s not clear if the trade was on behalf of a client. It may be the first step toward providing a customized exposure to the crypto market for large institutional investors.
Goldman Sachs is a 153-year-old Wall Street investment bank. It has a thriving global trading desk in traditional assets, but is slowly shifting to include digital assets. It has a cryptocurrency trading desk that began trading in bonds on the Ethereum blockchain in September, and is planning to launch its own crypto trading platform in 2018.
This year, several Wall Street banks have quietly started integrating blockchain technology into their businesses. Cowen partnered with crypto investment firm Circle earlier this month, and BlackRock announced it had formed a strategic partnership with Circle.
5. Revolut
Earlier this year, Revolut applied for crypto banking license in the U.S. But, until the UK situation is resolved, US authorities are not likely to issue one. Instead, the fintech is looking to expand its crypto offering in the US.
Initially, Revolut offered only fiat banking services, but the company is looking to expand its crypto offering in the United States. It will start to offer crypto deposits and withdrawals in the next few weeks. The company plans to offer more than 25 tokens, and aims to bring in more customers.
The app offers a range of cryptocurrencies, including Ethereum, Litecoin, Ripple, Bitcoin Cash, and XRP. Revolut has also launched a virtual card that lets users swap cryptocurrencies with any currency. Using the card is free, and users do not have to pay for exchange brokers.
