Crypto companies in the UK now have a banking option

Crypto companies in UK now have a banking option

In a world where cryptocurrencies are still considered by some to be the black sheep, it’s nice to see strides being made to give them their proper place in society. One of the most common areas where they are shunned is in the banking sector, but that is changing. For example, the London Block Exchange (LBX) is introducing a new service that will give customers in the UK a banking option for both their fiat and their crypto assets.

The LBX platform, LBX Pay, will allow users to store, transfer and manage funds, whether they be “regular” currency or digital. It is going to be offered, at first, to the business market, but could eventually be rolled out to other sectors, as well. LBX states that the retail version will “provide all consumers with a whole new way to interact with their cryptocurrency.”

LBX Pay will be available to traders, investment fund managers and initial coin offerings (ICO). The platform is designed to give customers an easy way to convert traditional fiat to crypto without having to move funds between accounts or across multiple service providers.

Users can manage their balances, payments and trades—including third-party payments—using a single app. In the event a business customer needs support for significantly larger transaction volumes, LBX will provide access to its over-the-counter (OTC) trading desk. An application programming interface (API) is scheduled to be released early next year to facilitate the access.

As an added security measure, cryptocurrency will be held in cold storage, not connected to the Internet. Traditional fiat will be held in segregated bank accounts and each will have its own IBAN (international bank account number) for routing.

LBX launched its OTC desk in November of last year. It also serves as a crypto wallet services provider, which is registered with the UK’s Financial Conduct Authority. The LBX Pay platform is more than likely being facilitated through a partnership between LBX and Clearbank, a bank that was formed last year by Nick Ogden, founder of the Worldpay payment services company.

LBX supports Bitcoin BCH and Ethereum Classic (ETC) pairs against the British pound. That support was introduced this past May.

New to blockchain? Check out CoinGeek’s Blockchain for Beginners section, the ultimate resource guide to learn more about blockchain technology.