FinTech platform FIS and cryptocurrency tax and accounting service Ledgible have joined forces on a partnership the companies said is designed to “bridge the gap between crypto and traditional finance.”
According to a Tuesday (July 5) news release, the partnership aims to give capital market firms space to aggregate, normalize and take digital asset data into their systems.
“With dozens of middle and back-office systems across buy-side and sell-side firms, FIS is acutely aware of just how important this data can be to support an asset,” the companies said in the release.
“Most APIs and tools in the crypto space were built for consumer markets — this partnership and the resulting technology applications mark a paradigm shift in institutions’ abilities to handle crypto in their portfolios. In essence, crypto becomes just another asset class for firms through their existing tradfi tools.”
John Avery, head of digital assets for FIS capital markets, said one of the obstacles traditional firms face when entering these crypto markets is that it often requires them to use one-off solutions or manual processes to get up and running.
“What we learned from our clients was that most want to operate at scale from ‘Day one’ of operation, not 12 months down the road,” he said.
On an earnings call earlier this year, FIS said it was working on its cryptocurrency capabilities in eCommerce, saying it hoped to “expand into attractive new verticals like crypto to capture fast-growing and emerging new markets.”
Also Tuesday (June 5), payments platform Wirex debuted Wirex Credit for loans backed by cryptocurrency, allowing users to borrow up to $100,000 in stablecoins.
Read more: Wirex Credit Intros Crypto-Backed Loans
“This is a landmark point in Wirex offering more ways for everyday users to utilize crypto, and we’ve made it as convenient and straightforward as possible for our customers to take a crypto-backed loan,” said Pavel Matveev, the company’s CEO and co-founder.
“Wirex’s vast ecosystem of products means there are huge opportunities for using Wirex Credit, from HODLing to debit card purchases, or using the Wirex Wallet to earn in DeFi protocols.”