Cryptocurrency exchange Bitstamp has partnered with Swiss bank Dukascopy to bridge the gap between digital assets and traditional banking.
The clients of Dukascopy, one of the major Swiss online banks, will now be able to carry out transactions with Bitcoin (BTC). The new offering results from the bank’s partnership with Bitstamp, a well-known cryptocurrency exchange.
Dollars for Bitcoins
The new partnership enables Dukascopy’s customers to fund their USD-denominated accounts with Bitcoin, and also withdraw funds from their accounts in the form of cryptocurrency. The exchange will support the swap between USD and BTC, according to the Bitstamp announcement made on Jan 25.
CRYPTO BANKING: We partnered with @DukascopyBankSA, a leading Swiss online #bank, to enable #bitcoin account funding for their clients. Read more: https://t.co/g2dnVgf6xJ #adoption pic.twitter.com/Z4erFf604U
— Bitstamp (@Bitstamp) January 25, 2019
Soon, Dukascopy’s clients will be able to send Bitcoin (BTC) to their traditional bank accounts and convert deposited coins to USD. Meanwhile, withdrawals from fiat-denominated accounts can now be converted to BTC and transferred to customers’ crypto wallets.
At this stage, Dukascopy supports only Bitcoin transactions with USD as a base fiat currency. The bank warns, however, that it takes some time to process BTC deposits and withdrawals, and they will be served only during business days. Thus, clients should consider the risks of possible losses caused by price fluctuations.
Building the Bridge
It is worth mentioning that Dukascopy has already made itself familiar with crypto assets. Apart from traditional banking services for retail and institutional clients, the Geneva-based bank allows trading cryptocurrencies via contract for difference (CFD). The recent developments indicate the bank’s growing involvement in the crypto sector.
In autumn last year, Bitstamp announced its drive for global expansion. The company pushed for better compliance and regulation to achieve this goal. According to the team, this partnership would help to bridge the gap between the evolving crypto industry and traditional financial markets.
Back in November, the exchange entered a partnership deal with Irisium, a leading software provider for market analytics and monitoring. This move enabled Bitstamp to enhance compliance, transparency, and customers’ safety and protection.
The team believes that its efforts are starting to deliver tangible results and further improve investors’ experience and confidence. Besides, the more secure and reliable the crypto platform is, the more interest from the institutional players it can gain. Indeed, the recent Bitstamp partnership with a respected Swiss bank represents another step towards crypto mass adoption.
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