Bitcoin custodian firm NYDIG has appointed John Dalby as its new CFO. Dalby spent nearly three years with Bridgewater Associates, the world’s largest hedge fund. About his new role he said:
“NYDIG’s growth has been incredible. Every day, more industries understand the potential of Bitcoin and more and more customers are looking for ways to securely access it. Personally, I share NYDIG’s vision that Bitcoin can drive economic empowerment for everyone. I am very much looking forward to doing my part to ensure that NYDIG delivers innovative Bitcoin solutions to institutions and individuals. “
NYDIG believes that the path to adopting Bitcoin is through the existing legacy banking infrastructure. The company is working on implementing an institutional solution that will allow US banks to offer crypto trading to their customers.
Bitcoin banking services on the go
In partnership with Fidelity National Information Services, NYDIG is promoting bitcoin services for banks. As part of this program, bank customers will soon be able to buy, hold and sell Bitcoin using their existing bank accounts.
Hundreds of smaller banks have come on board, according to NYDIG. However, discussions are currently ongoing with some of the larger banks. Patrick Sells, Head of Bank Solutions at NYDIG, said this setup makes crypto easy for everyday people.
“We’re making it easy for everyday Americans and businesses to buy Bitcoin through their existing banking relationships. If I use my mobile application for all of my banking, I can now buy, sell, and hold Bitcoin.”
Business Insider points out that less well-resourced banks are struggling to compete in the new digital market. The publication drew attention to the increasing popularity of challenger banks and financial services providers such as Revolut and Venmo.
By signing up with NYDIG and offering Bitcoin trading services to its customers, U.S. retail banks can better compete with challenger organizations that already have a significant overhead advantage in having no branches.
Research by NYDIG shows that most people don’t care if crypto is permissionless
NYDIG released a survey they conducted earlier this year that found that customers are more interested in their bank’s Bitcoin products than ever.
“The increasing prevalence of Bitcoin with little bank involvement surprised many. Some banks may wonder if consumers just don’t want to mix the two together. However, our consumer research points to an entirely different conclusion. “
Interestingly, the survey results show that 80% of existing Bitcoin investors would move their holdings to a bank with secure crypto storage. Also, 71% would switch to a bank that offers Bitcoin services.
While self-custody and direct trading on crypto exchanges is the preferred method for retail crypto enthusiasts, many overlook the fact that some people want an intermediary.
The reasons for this are many, including access to customer service, the perceived complexity of cryptocurrency, and shared responsibility for protecting against fraud and fraud.
Source: BTCUSD on TradingView.com