Cryptocurrency is starting to light up in New York City; a small bank has begun rewarding employees with crypto.
A bank by the name Quontic in New York City has begun flirting with cryptocurrency. Recently, it went into an agreement with an unknown client to offer crypto trading services. The bank opened its first Bitcoin checking ATM in a bid to send a message to both traders and other clients interested in the business.
Crypto is yet to Pick in America
Banks in America are yet to come to terms with the new wave of crypto and are still taking a cautious approach. Quontic Bank in a worded statement expressed fears of being left out of an “excellent opportunity” and does not want to play catch up in future. The CEO, Mr. Schnall, who acquired the business in 2009, claims that he is in a bid to diversify the services offered by the bank and wants more choices for his diverse customers.
The CEO further revealed that he envisions a tremendous growth for the Bank’s crypto wing in the years to come. In his own words, he claimed that the contract with the unknown client would have a considerable impact on millions of Americans who are keen on crypto trading.
Regulations and the Government
Stiff regulations have made crypto trading slow in the United States. Banks must comply with know your customer and anti-laundering regulations, which, when breached, may invite huge fines or possible closure.
The head of blockchain and digital trading, Joshua Klayman, in a different interview, claimed that banks have to be very keen at all times. Further, on, he stated that whenever one begins a start-up with a successful ICO, the banks would most likely not know the origin of the money.
However, more banks have expressed confidence that the industry will be significant in the coming years and have tabled plans to enter the market soon. These players are Signature Bank, Silver Gate, and Metropolitan Commercial.
Compared to the banks mentioned above, Quontic is a tiny bank and is valued at 0.015% of the total value of JPMorgan. However, Quontic is unique in that it welcomed cryptocurrencies earlier on.
Schall, the CEO of Quontic, has been a crypto fanatic for a long time; he bought his first crypto when Bitcoin was worth less than $1. At one moment, he even lost everything in the Mt Gox debacle. Schall has been central to the running of the bank as he continually educates his staff members about crypto. The CEO, together with colleagues have their crypto by the name Qcoin.