- Large banks remain reluctant to provide banking to cryptocurrency businesses as the risks/costs outweigh the benefits
- All crypto-serving banks based in the U.S. combined have less than $70 billion in total assets, which is less than 3% of JPMorgan Chase’s total assets
- The average crypto-friendly bank has total assets of $5.2 billion while the median is only $1.6 billion
- Nearly a third of crypto-friendly banks now offer cryptocurrency custody as a supplemental service
The large mainstream banks remain reluctant to provide banking to cryptocurrency businesses as the compliance costs and reputation risk continue to outweigh the benefits of the still-nascent crypto market. Serving cryptocurrency companies is simply too much of a headache for very little gain.
Until this week, Barclays was the largest bank ever to partner with a cryptocurrency-based business.