American-based financial services company Sullivan Banks has entered the world of cryptocurrencies through a partnership with Bakkt Holdings, Inc, to leverage the exchange’s Crypto Connect, designed to offer financial institutions tools to provide crypto access to customers.
Sullivan Bank to Offer Crypto Services
Established in 1895, the U.S. bank plans to offer its customers options to buy, sell and hold digital currencies such as Bitcoin (BTC) and Ethereum (ETH).
Mark Elliot, the Head of Marketing & Sales at Bakkt, said:
“We are pleased to work with Sullivan Bank to offer their customers the option to buy bitcoin and ether in their trusted digital banking app. To make the experience seamless for Sullivan Bank and its customers, we provide the full strength of Bakkt’s platform including compliance, tax reporting, educational resources and customer care.”
Mallory Farrell, chief operating officer at Bakkt, noted that Sullivan Bank’s crypto offerings would be facilitated using the exchange’s existing banking platform to enable customers to view their crypto, checking, and savings balances in one place.
Crypto Assets Are Not FDIC-Insured
Per the announcement, the new partnership aligns with the company’s mission to unlock new opportunities for their SulliFam customers within the U.S. territories, provide solutions that meet their needs and ultimately increase engagement.
The financial services company noted that cryptocurrencies are not covered under the U.S. Federal Deposit Insurance Corporation (FDIC) and therefore are not protected against failure or theft. Additionally, the bank noted that the assets could lose value due to the inherent volatility of the virtual currencies.
Not the First
Meanwhile, Sullivan Bank is not the only financial institution that has entered the world of digital currencies to secure a place in the new emerging market.
In July, Coinfomania reported that KEB Hana Bank, a South Korean commercial bank, signed an agreement with metaverse project The Sandbox, to offer metaverse services to its audience.
According to the report, the bank will open its virtual branches in the digital universe to provide banking services and open coloration opportunities on The Sandbox.
KEB Hana Bank also plans to introduce content in a Korean virtual space called K-Virtual that contains both K-Pop and Korean culture to attract more users in the region.
Source: https://coinfomania.com/sullivan-bank-partners-bakkt-crypto-services/