ClearBank Agrees To Open Account For Crypto Exchange

U.K. bank ClearBank has reportedly agreed to open up an account for a cryptocurrency exchange, according to unnamed sources, as reported by Reuters on Friday (June 15).

While EU and U.K. regulators are reluctant to support the cryptocurrency industry, the U.K. startup bank’s rumored agreement to service the London Block Exchange signals interest on the part of the alternative finance market to work with these players.

According to reports, opening an account for the exchange means it will allow domestic customers to trade digital assets without moving money across borders.

“This will make it easier for both British customers of the exchange to buy and sell cryptocurrencies, making transactions faster and cheaper,” one of the unnamed sources told Reuters.

Neither the exchange nor ClearBank commented on the reports.

It is rare for cryptocurrency exchanges to secure services from banks, though it is not impossible. Reports noted that earlier this year, Coinbase announced in March that it would open a bank account with Barclays in the U.K.

The London Block Exchange announced earlier this year that it would provide traders with on-shore accounts, as well as access to the U.K.’s Faster Payments service. That same month, in March, ClearBank revealed it had joined Faster Payments via the Faster Payments Access Program.

“It is great news that the customers they will be gaining as they build their new business will have complete access to the full Faster Payments service,” said Faster Payments CEO Craig Tillotson in a statement announcing ClearBank’s participation in the payment scheme. “Not only will this increase the number of end users who can get direct access to Faster Payments, as a new type of player in the industry, ClearBank will further diversify the business models in our direct participants, growing participation choices for future PSPs looking to gain access to our service.”