After a four-year hiatus, US Bank has once again begun offering Bitcoin custody and Bitcoin ETF services. This marks the start of a new era for institutional investors in cryptocurrency.
Resumption of Bitcoin Custody Services
US Bancorp, the seventh largest bank in the US, has officially restarted its Bitcoin custody services for institutional investment managers. The services were paused in 2022 due to SEC's SAB 121 rule. With those restrictions now lifted and institutional interest reignited, the bank has partnered with New York Digital Investment Group (NYDIG) to provide regulated access to Bitcoin.
Cryptocurrency Market and New Projects
Amid the renewed interest in Bitcoin, the market is witnessing an uptick in interest towards alternative cryptocurrencies. Projects like Bitcoin Hyper bring faster operation and integration with DeFi, which may lead to increased popularity. Additionally, Ethereum's prospects are rising as institutional investors become more engaged with this cryptocurrency.
Future Prospects for Cryptocurrencies Post US Bank
US Bank's return to cryptocurrency may signify a broader trend of institutions recognizing cryptocurrencies as significant assets. Reports suggest that by 2030, cryptocurrencies could account for up to 10% of global post-trade activities. This creates a favorable environment for the growth of both Bitcoin and other promising cryptocurrencies.
US Bank's resumption of Bitcoin custody emphasizes the changing landscape of the cryptocurrency market, where new technologies and alternative cryptocurrencies could play a pivotal role in investment portfolios.
