Financial institutions will now be able to give consumers the option to purchase, sell and hold Bitcoin via their bank accounts – which will be enabled through an integration between Fiserv, Inc. (NASDAQ: FISV), a provider of payments and financial services tech solutions, and NYDIG, a Bitcoin technology and financial services firm.
This new option should allow banking institutions and credit unions to cater to the growing mainstream interest in Bitcoin, while retaining and expanding their client base, and also increasing non-interest income opportunities.
An extension of the Fiserv focus on supporting Open Banking solutions, the new integration with NYDIG should enable users to manage BTC transactions directly within their service provider’s online and mobile banking platforms, offering consumers an intuitive way to purchase, sell and hold Bitcoin via their trusted financial service providers.
Byron Vielehr, Chief Digital and Data Officer at Fiserv, stated:
“Interest in cryptocurrency, and particularly bitcoin, has skyrocketed over the past several years, to the point that bitcoin investing is now a commonplace activity. People continue to turn to financial institutions as a central place to manage their financial activity, and being able to offer this capability will help position banks and credit unions at the forefront of their customers’ financial lives.”
California-headquartered First Foundation Bank is currently working cooperatively with Fiserv and NYDIG in order to bring these products to market.
Scott F. Kavanaugh, CEO at First Foundation Inc. (NASDAQ: FFWM), remarked:
“Digital assets have caught the eye of consumers and investors. If our industry is truly committed to innovation and the financial future of our clients, we need to lead in this area and help create a secure and trusted platform for using bitcoin for everyday financial matters.”
Fiserv and NYDIG are also working towards offering banks the option to add Bitcoin-based rewards programs.
Robert Gutmann, Co-founder and CEO of NYDIG, added:
“Our partnership with Fiserv represents a leap forward in bringing integrated bitcoin transactions to institutions of all sizes, positioning them to meet growing demand and interest from their customers. We look forward to fulfilling our mission of expanding consumer access to bitcoin through their trusted financial institutions with Fiserv.”