Banking startup LevelfieldEx is looking to become the first FDIC-insured bank to offer crypto services following its acquisition of community bank Burling Bank. By LizKNapolitano
The full-service bank plans to offer its clients cryptocurrency-related services alongside a host of traditional banking services. The acquisition is expected to be finalized toward the end of this year, pending regulatory approval of the transaction, according to the press release. Financial terms of the deal have not been disclosed.
Although LevelField may become the first FDIC-insured bank to offer crypto services, that does not mean the bank will necessarily offer a safer way to invest in volatile digital assets. FDIC insurance protects bank depositors against losses of up to $250,000 in case of a bank failure, but cryptocurrencies are an asset class that remains uninsured by the FDIC.
Burling Bank’s senior management team will remain with the bank following the acquisition. The senior team will work in tandem with LevelField’s existing team to grow the bank’s business nationwide. LevelField’s foray into crypto follows crypto’s growing adoption in traditional finance spaces. Bank of America, Goldman Sachs and USAA have embraced cryptocurrencies to varying extents in recent years.
United States Latest News, United States Headlines
Similar News:You can also read news stories similar to this one that we have collected from other news sources.
Gemini Investigated by NY Regulator Over FDIC Claims: ReportThe New York Department of Financial Services (NYDFS) is investigating crypto exchange Gemini over claims it made related to the safety of its customers' assets, according to an Axios report on Monday. CoinDesk Global Policy and Regulation Managing Editor Nikhilesh De weighs in on the investigation.
Read more »
The Arnault family is banking on K-Pop stars to boost the LVMH empireInsider tells the global tech, finance, markets, media, healthcare, and strategy stories you want to know.
Read more »
SoFi’s banking moves are proving a ‘unique advantage,’ analyst saysSoFi Technologies Inc. continues to win praise for its banking efforts after the digital financial-services company gave an upbeat earnings forecast.
Read more »
Adani’s battle with Hindenburg leaves investors sizing up exposure to the global banking sectorWhile Gautam Adani received a vote of confidence from investors in its latest $2.5 public offering Tuesday, Wall Street is still sizing up his exposure to the global financial sector.
Read more »