Deutsche Bank Inks Corporate Banking Pact With Crypto.com
Deutsche Bank is now Crypto.com’s corporate banking provider in Singapore, Australia and Hong Kong.
The partnership is expected to involve additional banking support and coverage in new countries as the collaboration evolves, according to a Tuesday (Dec. 10) press release.
“This is a momentous relationship for us and further highlights our commitment to security and compliance,” Karl Mohan, general manager of APAC and MEA and global head of banking partnerships for Crypto.com, said in the release. “Teaming up with one of the world’s leading financial services providers further cements our already strong presence globally, and we are excited to build on this with the support of Deutsche Bank.”
The news came days after Crypto.com announced it received a license to issue cards on Mastercard’s network.
The new program lets Crypto.com launch a Mastercard-powered card in Bahrain, permitting its customers to use it at over 150 million in-store and online locations worldwide.
The company said the partnership “cements the progression” of its card program, as Crypto.com aims to provide clients with more ways to spend their crypto assets “in real-world payment scenarios.”
After Bahrain, the program is expected to expand across the Gulf Cooperation Council countries, which include Kuwait, Oman, Qatar, Saudi Arabia and the United Arab Emirates.
Meanwhile, PYMNTS wrote last week about claims by FinTech and crypto investor Marc Andreessen that the two sectors are being “debanked” by U.S. financial institutions. The billionaire made the claim on Joe Rogan’s podcast, and it was later amplified by Elon Musk.
Debanking often refers to the practices of financial institutions blocking or restricting access to accounts or refusing services to certain individuals, organizations or industries. This can occur for various reasons, such as regulatory concerns, perceived risks, compliance issues or reputational considerations.
“But while the tech investor’s remarks may resonate with the frustrations of many in the cryptocurrency and FinTech sectors, the reality could be far more nuanced than a political assault on crypto and FinTech,” PYMNTS wrote.
Innovation typically moves faster than regulation, and the strain between traditional banks and FinTech and crypto firms can also be chalked up in part to the consequence of outdated regulatory frameworks, stricter know your customer and anti-money laundering standards, and heightened fraud risks.
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