The company stated that the Bitcoin account generates a 1% return without the need for staking, lending, or binding up assets.
Xapo Bank, a Bitcoin-native bank and one of the first digital asset custodians, has entered the U.K. market following the acquisition of its banking license.
Bitcoin and fiat interest-bearing accounts are two new products that the bank is offering to its clients today.
Xapo clients have the ability to send a maximum of $1 million in British pounds or $1.28 million, as well as make payments to U.K.-based wallets and bank accounts. The company stated that the Bitcoin account generates a 1% return without the need for staking, lending, or binding up assets.
“We are delighted to announce that we have effectively transferred our banking license to the United Kingdom,” stated Seamus Rocca, CEO of Xapo Bank. “This entitles us to make our banking services available directly to the UK market.” This is a challenging accomplishment that demonstrates our compliance with the stringent regulatory requirements of the United Kingdom.
The organization also disclosed that Bitcoin accounts are capable of disbursing funds “as fiat” through a universally accepted debit card, in addition to providing investors with exposure to S&P 500 equities and other cryptocurrencies.
In 2013, Xapo, which is headquartered in Gibraltar, commenced providing its clients with Bitcoin at a time when Bitcoin-native banks were scarce and unreliable. It is renowned for its Fort Knox-style security, which includes subterranean shelters located in the Swiss Alps and stringent measures to protect the private credentials of its clients.
In May, it became the first completely licensed bank to support Bitcoin deposits via the protocol’s Layer 2 Lightning Network, and has been pioneering movements in and out of crypto.
The United Kingdom has been resolute in its efforts to establish a regulatory sanctuary for the emerging crypto industry. Bank of England and Financial Conduct Authority (FCA) are leading the Digital Securities Sandbox (DSS) initiative, which includes numerous consultation papers.
SEC commissioner Hester Peirce proposed a cross-border regulatory framework for the crypto industries in the United States and the United Kingdom in late May. There have been no developments.
Also Read: The VanEck CEO connects the use of Bitcoin to gold and predicts $350,000
