Brubank is one of the first Argentinian banks to be approved by the national central bank. It announced that customers can now make cryptocurrency investments through its platform. Customers will be able to buy crypto assets via the app. According to reports, this is the second bank that offers these services.
Brubank Launches Cryptocurrency Services
Private banks in Argentina have begun to recognize the benefits of providing cryptocurrency services to customers in light of the crypto boom. Brubank, an all-digital financial institution licensed by the country’s central bank, has reported it is now offering cryptocurrency purchase services in its app. This new function was announced by the bank via social media after a customer asked about it.
Brubank stated:
We already have crypto. This functionality is gradually being made available to all users. When you have it enabled you will be able to view it by entering ‘Investments’ from the app.
Brubank decided to only offer four cryptocurrencies via its platform. It listed BTC, ETH and two stablecoins, USDC and DAI.
Legality of Banking Crypto Frenzy
Brubank isn’t the only bank to offer cryptocurrency services to its customers in Argentina. Banco Galicia, a private bank that also offers cryptocurrency services, announced on May 2 it would be offering these investments from its own home banking app. This announcement was made after customers requested them.
However, cryptocurrency is not yet fully regulated by the country. Banks cannot even offer investments in cryptocurrency. Banks are now collaborating with foreign institutions to offer white label services. Banco Galicia’s case is Lirium. This European-regulated platform provides liquidity and executes trades. It also provides custody services. Brubank did not reveal the platform that provides these services to Banco Galicia.
Because these arrangements do not comply with the law, the funds in the wallets may not be protected by it. They are also out of scope for the investment protections the institutions can provide, such as the National Values Commission and the central bank.
How do you feel about crypto being included in an Argentinian bank branch? Leave a comment below.
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