Made in Canva
Banks have been adopting cryptocurrencies and offering crypto-related services after requests from clients with high net worth. Signature Bank has been recently witnessing the benefits from its decision that it took long before most banks.
Signature Bank is a full-time commercial FDIC-insured bank based in New York which took its first important step towards cryptocurrencies when it integrated with Signet and Fireblocks. Fireblocks has helped financial institutions like hedge funds, exchanges, custodians, banks, trading desks with secure transactions between fiat and crypto-assets. Signet has made it possible for people to access the bank via Fireblocks to make transactions conveniently while maintaining high-grade security. This has put Signature Bank ahead of the vast majority of banks that are only recently delving into the industry. Although it has been just a year, the progress that it has made is immensely important as cryptocurrencies continue to dominate the market.
More Accessibility with TrueUSD(TUSD)!
Signature Bank is the first bank to utilize a stablecoin for payments. Signet, one of its main products, has made a partnership with TrueUSD wherein clients will be purchase and use the stablecoin while transacting with other people seamlessly. The reason TrueUSD was chosen from all the available stablecoins is because of its great track record that has been tracked by a reputed US accounting firm along with banks, escrow accounts to mitigate risks. It has been branching out to other countries to offer help on bank deals in cryptocurrencies while prioritizing regulation and security. TrueUSD has also partnered similarly with the banks like PrimeTrust and Silvergate.
TUSD has been listed on over 70 centralized Exchanges in addition to DeFi platforms like Elipsis, which is an exchange liquidity pool designed for: extremely efficient stablecoin trading that is based on Binance Smart Chain(BSC). Along with Ethereum, Avalanche, Uniswap, TRON, and more.
Stablecoins have been quite intriguing as they take aspects of cryptos and fiats, which result in a currency that is heavily regulated but also accessible. Some people like the notion of stablecoins as they combine the best of both worlds, but to me, it feels like a digital dollar, nothing more, nothing less. It’s great for banks to embrace blockchain technology and advocating for financial inclusion. However, it still leaves centralized authorities in power and lends them the ability to manipulate the market on their will. It is also concerning how after being in denial about the damage the dollar has caused, most financial institutions have accepted it and are racing to create their own centralized currencies. As the inevitable doom of the dollar approaches, more banks have been adopting stablecoins as a way to ditch the problem they created. This completely disregards all the harm they have caused in the past and lets them start anew, leaving people who are less fortunate to bear the weight of their mistakes.
DWAYNE D’CUNHA, WRITER ON MEDIUM.
Check out our new platform 👉 https://thecapital.io/