The Benefits of Crypto Banking Partners
2021 has been something of a whirlwind year for the digital asset industry, with the price of major cryptocurrencies rising to unprecedented levels and assets such as NFTs becoming more popular in the mainstream – no matter where you look, there are numerous references to the evolution and maturation of cryptocurrency. The number of platforms and tools on the market at the moment makes crypto incredibly accessible for people at every stage their of engagement with digital assets, and it’s become vital for institutions who operate in the space to find a crypto-friendly banking partner.
If you’re looking for forward-thinking banking solutions, our suite here at BCB Group is sure to be something that you’ve heard about. As one of the crypto banking sector’s pioneering entities, we’ve played a pivotal role in the industry and have partnered with a number of like-minded boards who are looking to ensure that crypto markets are addressing regulation at the highest level. You can read more about our partnership with CryptoUK and what it could mean for the future of cryptocurrency trading by reading our article right here. Alternatively, if you’d like to learn more about how BCB Group’s services could address your crypto business banking, FX or crypto trading requirements, , you can fill out our contact form and a member of our expert team will be in touch shortly with more details relating to your query.
Cryptocurrency is One of the Biggest Growth Industries
After steady growth over the past decade since the first token, bitcoin, was created and released to the market, the past 2 years in particular have seen astronomical growth that’s skyrocketed the entire industry to completely new levels. Partly thanks to a number of significant events occurring sequentially to heighten awareness, as well as the institutional adoption we’ve witnessed,, the crypto industry exploded in 2020, with many major businesses starting to accept the tokens as payment for goods, legitimising cryptocurrency within a number of industries as a tangible source of payment.
Another event that put cryptocurrency into the spotlight has been Elon Musk’s comments on the matter – as a major figurehead in the technology sector, it’s unsurprising that many people listen when he comments.. As part of this, Tesla announced that they would be accepting bitcoin as a form of payment for their vehicles.. However, this was cut short as Musk announced that Tesla would no longer be accepting Bitcoin due to environmental fears surrounding the mining process. In just a few months, however, Tesla reverted this stance and began to accept bitcoin again. As you can imagine, this caused huge fluctuations in value for Bitcoin and other cryptocurrencies alongside it, creating further volatility in a market that is already incredibly reactive.
The Rise of NFTs in 2021
In addition to cryptocurrencies, NFTs have been the big story of 2021 from a digital assets perspective. NFTs utilise blockchain technology to ensure that transactions and ownership changes are tracked at all times – this means that there is an official, monitored record of ownership for every NFT, validating the current owner’s status at all times. NFTs can relate to pretty much any kind of digital asset, which is probably why they’ve become so popular over the course of the past year, particularly in the world of digital art and gaming.
Many see NFTs as the next evolution of fine art collecting as a hobby and asset trading mechanism; where the art was previously physical art on canvas, paper, or something more eccentric, the art is now a digital file with just one tracked owner. Now, you may be wondering what’s stopping people from just downloading the image and keeping it for themselves and the simple answer is… nothing. But, this isn’t really the point of NFTs; what an NFT provides the user is ownership of the digital item. It’s the same principle that exists in the Louvre – you can take a picture of the Mona Lisa, however, that does not mean you own it, which is where the real value lies.
If you’re looking to become more involved with NFTs or crypto, then it’s incredibly important to have the support of the right banking partner – traditional banks are notoriously unable to offer the level of service any company in the digital asset sector requires, , however, challenger banks are designed with this in mind. A challenger bank will provide you with the ideal setup to store, transact, and trade with your digital assets with the greatest of ease, which makes it easier than ever to maximise your productivity. For more information on our accounts and services, please get in touch with a member of the BCB Group team today.