Adam Vettese (eToro) | Investment banking giant JPMorgan Chase has begun to provide banking services to cryptoasset exchanges, according to reports.
The Wall Street Journal first reported overnight that both Coinbase, the largest US-based bitcoin exchange with more than 30 million accounts, and Gemini, which was started by Tyler and Cameron Winklevoss, have agreed a deal to use JPMorgan’s banking services.
The investment bank is primarily providing cash-management services and taking care of dollar-based transactions for the two firms’ US-based customers, according to the Journal’s sources. It will also process wire transfers and deposits and withdrawals using an electronic funds-transfer system.
The move means customers of Coinbase and Gemini will be able to move money between their cryptocurrency accounts and their traditional bank accounts.