Bitwala Launches Crypto-friendly Bank Accounts
Germany based payments startup and wallet provider Bitwala has launched its crypto banking accounts that the firm said will change the crypto-banking ecosystem.
In a tweet announcing the launch, Bitwala noted that the new banking solution is “built for the crypto economy.”
Bitwala recently announced that the new banking solution would allow customers to operate an online account that holds both fiat and crypto balances. Users are able to access normal banking services like channeling their salaries or using the crypto in the account to pay for utility bills among other everyday payments.
Account holders will also be able to access trading services from the same account, where an individual can buy and sell bitcoin directly from their bank account. The ease with which users can switch between crypto and fiat could be an attractive proposition for any crypto enthusiast or those looking to get into the digital currency space for the first time.
Currently available in Germany only, the solution is offered in partnership with fully regulated banking provider SolarisBank.
Customers have the depositing euros or bitcoin into a single account, all made safe via leveraging the top security mechanisms employed at traditional banks. All deposits of up to €100,000 will get automatic cover as specified under the country’s banking laws.
According to the firm’s co-founder Jan Goslicki, launching the solution meant that crypto was now “fully compliant” and shows that indeed crypto can be used in regulatory safeguards that ensure consumer protection.
At the time of launch, Bitwala had begun on-boarding nearly 40,000 customers.
In September, as the startup prepared to launch the service, Bitwala president Jörg von Minckwitz explained that the online accounts had the potential to aid the crypto industry by promoting mainstream adoption.
The startup closed a $4.5 million funding round led by venture capital firm Earlybird. Minckwitz noted that its service would bridge crypto and fiat-backed traditional banking, in the process removing the pitfalls that prevent crypto from gaining global support.