American Bank launches Bitcoin custody service as institutions rally to meet with the ever-increasing crypto demand.

HIGHLIGHTS

U.S. Bancorp, one of the biggest retail bank (6th position) announced Tuesday that its cryptocurrency custody service is available to Institutional Investment Managers.

Fund managers will store their private keys for bitcoin, bitcoin cash and litecoin with the sub-custodian company, NYDIG.

Altcoins like Eth will be supported later on. The race to cater to institutional investors who want to wager on cryptocurrency is heating up.

Delay is dangerous in the truest sense and U.S. Bank knows this.
U.S. Bank, one of the biggest retail banks in the US, has agreed to set up a cryptocurrency custody service that they made available to fund managers.

The investment managers would be able to store private keys for bitcoin, bitcoin cash, and litecoin with NYDIG, a sub-custodian company. According to Gunjan Kedia, the VC of the bank's wealth management and investment services division, other coins are expected to be added over time.

This underlines the latest trend of the stock market and other financial actors accepting cryptocurrency as a tradeable asset.

On the other hand, custody banks like Bank of New York Mellon, State Street, and Northern Trust have all declared plans to custody digital assets.

"Our clients are getting very serious about the potential of cryptocurrency as a diversified asset class," Kedia said in an interview. "I don't believe there's a single asset manager that isn't thinking about it right now," she added.