The prime brokerage unit of Bank of America has now started offering crypto exchange-traded products (ETPs) to its select customers.
The demand for ETPs is steadily climbing because of the increasing popularity of digital assets, or more specifically, bitcoin.
Another reason why ETPs are getting popular is that they enable customers to venture into cryptocurrencies while protecting them from the cryptos’ volatile nature.
Bank of America has opened its doors for ETPs for its increasing demand and its big potential to secure the bank’s footing into the cryptocurrency field.
Tapping the power of crypto
Even with the extreme volatility of cryptocurrencies, banks all over the world have always been open to collaborating with these currencies because of their big potential.
But banks would only be willing to expose their clients to crypto-only if they are sure that everybody could be protected from its risks.
And since banks are also banned from purchasing crypto assets directly, one option they chose is to partner with crypto companies so they could safely enter into the field and offer services for their clients.
Goldman Sachs, too
Before Bank of America, its fellow banking giant Goldman Sachs has also previously made crypto-related moves to tap the growing opportunities in digital assets.
Goldman Sachs has announced previously that it would offer bitcoin futures trading, Ether options, and futures to their clients. It has partnered with Galaxy Digital to make its crypto venture as smooth and as secure as possible.
Most banks, especially the big ones, were previously hesitant to make a big jump on cryptocurrency. But today, they are gaining confidence to tap the big potential that these virtual currencies can provide.
Image courtesy of Cointelegraph News/YouTube