Founded in 2018, global digital bank FV Bank has become one of the latest financial platforms to support deposits for the Circle-backed stablecoin USD Coin (USDC).
FV Bank announced today the launch of a new service that allows account holders to directly deposit USDC into the bank’s US dollar accounts. With the new feature, customers will be able to deposit USDC into their accounts, similar to traditional deposits such as wire transfers or an automated clearing house network.
According to the announcement, deposited USDC funds are instantly and automatically converted into US dollars (USD) during the deposit process. The company stated that the new solution they have developed allows FV Bank users to invoice their international customers in USDC. With all these features, the bank will enable faster and cheaper transactions, as well as the opportunity to convert between currencies.
“We believe this feature will greatly improve the user experience and lead to smoother trading,” said Miles Paschini, CEO of FV Bank, in an interview with Cointelegraph.
Paschini pointed out that USDC will be the first stablecoin currently accepted to deposit into USD accounts. However, FV Bank stated that it may support more stablecoins in the future.
“We chose USDC because of the licensing, reserve statements, and real-time one-to-one liquidity,” explained Paschini, CEO of FV Bank.
In addition to USDC integration, the bank plans to launch its own custody service in the 4th quarter of 2022 and allow its customers to hold digital assets in custody accounts as well as deposit accounts. According to Miles Paschini, FV Bank’s custody service; It will support Bitcoin (BTC), Ethereum (ETH) and other cryptocurrencies “based on supported asset criteria”.
FV Bank is a crypto-friendly digital bank based in Puerto Rico and regulated by the Office of the Directorate of Financial Institutions. The bank planned to launch its custody services first in 2021, following the example of major US banks such as Standard Chartered.