Australia’s Commonwealth Bank Is Set to Launch Cryptocurrency Services

The Commonwealth Bank of Australia (CBA) is becoming the first commercial bank in the country to launch cryptocurrency services for its customers that can be accessed directly from the existing banking application.

The Aussie bank will support buying, selling and holding of Cryptocurrencies Cryptocurrencies By using cryptography, virtual currencies, known as cryptocurrencies, are nearly counterfeit-proof digital currencies that are built on blockchain technology. Comprised of decentralized networks, blockchain technology is not overseen by a central authority.Therefore, cryptocurrencies function in a decentralized nature which theoretically makes them immune to government interference. The term, cryptocurrency derives from the origin of the encryption techniques that are employed to secure the netw By using cryptography, virtual currencies, known as cryptocurrencies, are nearly counterfeit-proof digital currencies that are built on blockchain technology. Comprised of decentralized networks, blockchain technology is not overseen by a central authority.Therefore, cryptocurrencies function in a decentralized nature which theoretically makes them immune to government interference. The term, cryptocurrency derives from the origin of the encryption techniques that are employed to secure the netw Read this Term and has partnered with New York-based Gemini Trust for offering the exchange and custodian services. It has also tapped the services of Chainalysis for compliance and Risk Management Risk Management One of the most common terms utilized by brokers, risk management refers to the practice of identifying potential risks in advance. Most commonly, this also involves the analysis of risk and the undertaking of precautionary steps to both mitigate and prevent for such risk.Such efforts are essential for brokers and venues in the finance industry, given the potential for fallout in the face of unforeseen events or crises. Given a more tightly regulated environment across nearly every asset class, One of the most common terms utilized by brokers, risk management refers to the practice of identifying potential risks in advance. Most commonly, this also involves the analysis of risk and the undertaking of precautionary steps to both mitigate and prevent for such risk.Such efforts are essential for brokers and venues in the finance industry, given the potential for fallout in the face of unforeseen events or crises. Given a more tightly regulated environment across nearly every asset class, Read this Term needs.

According to the bank, the decision to introduce new services was made as a large number of its customers want to access crypto assets as an investment class. This step by the bank will bring crypto to its 6.4 million customers.

“The emergence and growing demand for digital currencies from customers create both challenges and opportunities for the financial services sector, which has seen a significant number of new players and business models innovating in this area,” said the bank’s CEO, Matt Comyn.

Pilot in 'Coming Weeks'

Initially, the bank will offer access to ten major digital currencies, including Bitcoin, Ethereum, Bitcoin Cash and Litecoin.

The pilot program of the new crypto services is expected to be launched in the ‘coming weeks’, while the full roll-out with additional features is planned for next year.

Meanwhile, the Aussie financial markets regulator is taking much interest in the growing crypto space. It recently issued a warning against offshore unlicensed crypto exchanges that usually offer crypto derivatives.

“Customers have expressed concern regarding some of the crypto services in the market today, including the friction of using third party exchanges, the risk of fraud and the lack of trust in some new providers. This is why we see this as an opportunity to bring a trusted and secure experience for our customers,” Comyn added.