News hardware Bitcoin: good news if you are a BNP Paribas customer
Between banks and cryptos, it has not always been a great love story, and for good reason… Bitcoin, “king” of cryptocurrencies wants to be an alternative solution to the current banking system. However, according to the BNP Paribas announcement, the trend seems to be reversing. Indeed, the bank intends to offer its own cryptocurrency storage solutions.
BNP Paribas expected to offer a cryptocurrency custody service shortly
According to the CoinDesk media, BNP Paribas should soon offer a cryptocurrency custody service in banking version. The project could be a choice against wallets and crypto exchange platforms. Specifically, BNP Paribas customers holding Bitcoin will be able to keep the cryptocurrencies in a virtual safe at the bank.
The project is the result of a collaboration between the Swiss cryptocurrency storage specialist Metaco and the French bank BNP Paribas. Through this partnership, the bank wishes to develop its asset custody subsidiary “Paribas Securities Services”.
Metaco is not at its first attempt with French banks since some time before the company had supported a Société Générale subsidiary, with the aim of developing access to this type of service for professionals.
This announcement is a giant leap in the mass adoption of cryptocurrencies, while the price of cryptos is at an all-time low.
Crypto and Banks, Chapter 2
Created during the economic crisis of 2008, Bitcoin is considered a disruption of the banking system. The Bitcoin network allows peer-to-peer transactions without the intermediary of banks. As a result, it is intended to be a freer, totally decentralized solution. This direct competition nevertheless finds some flaws since on the Bitcoin blockchain, the individual is empowered during the transactions, therefore if he makes an error in a transaction, he loses the capital sent, and it is irreversible… Bitcoin has no customer service.
For these reasons, and their highly speculative nature, cryptos have long been a banking nightmare. Some agencies even went as far as illegality by prohibiting their clients from investing in these virtual currencies.
BNP Paribas in Web3
In addition to the blockchain, BNP Paribas is sensitive to so-called Web3 innovations. Indeed, last month the bank took a close interest in the metaverse by announcing the development of WIRED (Wearable Immersive Real Estate Dataroom).
The project is defined as a technological platform offering virtual 3D reproductions of real cities. To do this, the brand had partnered with giants of the digital industry like Nvidia or Magic Leap.
This new announcement concerning the storage of cryptocurrencies is therefore part of a logic of modernizing the image of BNP Paribas. We imagine that, as a pioneer in this field, the French bank could attract new customers who are sensitive to this type of service. Also, the novelty should make Bitcoin accessible to a wider audience who does not necessarily have advanced knowledge of the uses of the crypto sector (wallet, blockchain, gas costs, etc.).