By
Benjamin Njiri
April 23rd, 2024
With this launch, the CBA will become the first bank among its peers in Australia to enable crypto trading in this form.
In what appears to be another big win for the crypto space, the Commonwealth Bank of Australia (CBA) has disclosed its plan to enable a crypto trading feature that would allow the bank to support the trading of some major cryptocurrencies through its banking app.
In the November 3 announcement, the bank disclosed that it has partnered with Gemini, one of the US leading crypto exchanges, and Chainalysis, the giant blockchain analysis firm to help it achieve its goal of enabling crypto trading services for Aussies.
What this means is that over 6 million users of its bank app would have access to the crypto trading feature on their devices very soon. According to the announcement, the full launch will come by next year. However, before that time, precisely in a few weeks, the bank would launch its pilot for a few customers.
No fewer than ten major crypto assets would be embedded in the banking app, including Bitcoin (BTC), Ethereum (ETH), Bitcoin Cash (BCH) and Litecoin (LTC) named, and other six digital assets.
While speaking on the partnership, Dave Abner, the Global Head of Business Development at Gemini, said his firm is excited and proud to be part of the team to launch a world-leading crypto service on one of the biggest banks in Australia.
Acording to him, “the exponential growth of digital assets internationally, coupled with Gemini’s institutional-grade security and proactive regulatory approach, positions this partnership to set a new standard for banks and financial platforms in Australia and across the globe.”
With this launch, the CBA will become the first bank among its peers in Australia to enable crypto trading in this form as none of its competitors have introduced crypto to their platform. However, this trailblazing move could spur others such as National Australia Bank (NAB), Australia and New Zealand Banking Group (ANZ), and Westpac to follow in the steps of CBA.
Reactions to the News on the Commonwealth Bank of Australia Supporting Crypto
This CBA move has generated lots of reactions, both positive and critical. Among the positive responses came from Steve Vallas, CEO of Blockchain Australia, who saw it as an essential move and noted it would attract other big banks to emulate.
“It is inevitable that the other banks will follow suit. The clarity in the local regulatory landscape is emerging with issues such as licensing being tackled head-on by industry and by Governments. That impediments to action and participation are being removed,” said he.
Another one came from Caroline Bowler, the CEO of local crypto exchange BTC Markets, who noted that the move would open the floodgates for more appetite from traditional finance.
However, some are displeased with this development, particularly its partnership. Adrian Przelozny, the Australian crypto exchange Independent Reserve CEO, expressed displeasure over the bank’s partnership with overseas firms, neglecting all local players.