PNC Bank, with $549B in AuM, partners with Coinbase to offer crypto trading and custody, meeting client demand for digital assets.
PNC Bank has become the most recent significant financial institution in the United States to participate in the cryptocurrency market, a significant development. To broaden its clientele to encompass digital asset services, the $549 billion AuM banking behemoth, the seventh-largest U.S. bank, has formed an alliance with the crypto exchange, Coinbase.
PNC Bank Establishes a Strategic Partnership with Coinbase
The banking colossus announced in a press release that it had formed a strategic partnership with Coinbase. The partnership is designed to increase the availability of digital asset solutions for its institutional investors and banking clients.
The foremost cryptocurrency exchange will also receive customized banking services from PNC Bank. The bank asserted that this partnership leverages the institutional-grade infrastructure of Coinbase’s Crypto-as-a-Service (CaaS) platform and its legacy of client service and innovation to facilitate “secure, scalable crypto access” for its clients.
Furthermore, the two organizations intend to collaborate to create an initial offering that will enable their nine million clients to trade crypto assets. In response to the agreement, William Demchak, the Chairman and CEO of PNC, stated,
Partnering with Coinbase accelerates our ability to bring innovative, crypto financial solutions to our clients. We will also provide PNC’s best-in-class banking services to Coinbase. This collaboration enables us to meet growing demand for secure and streamlined access to digital assets on PNC’s trusted platform.
In the interim, the Bank has become a part of an expanding group of prominent traditional financial institutions that are broadening their services to include cryptocurrency offerings for their clients. JP Morgan, the largest bank in the United States, is investigating the possibility of providing its clients with loans secured by Bitcoin and Ethereum, as previously reported.
Coinbase also addressed its partnership with the banking behemoth in an X post. The U.S. bank’s customers expressed a desire for more convenient access to cryptocurrency, and the partnership is on the brink of achieving this goal.
Coinbase Is The Amazon of Cryptocurrencies
Brian Armstrong, the CEO of the exchange, recently confirmed that his organization is the “Amazon of Crypto.” This announcement coincides with the commencement of the PNC Bank Coinbase partnership. He asserted in an X post that Coinbase is a comprehensive solution for custody, trading, payments, staking, stablecoins, borrowing, and lending.
Additionally, he disclosed initiatives to broaden their offerings to include capital formation, tokenization, and other areas. Bernstein analysts have increased their target price for COIN stock to $510 due to Coinbase’s substantial crypto presence in the United States.