Citi Collaborates With Coinbase Enable Fiat–Crypto Transactions for Institutional Clients
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Coinbase and Citi have partnered to simplify fiat-crypto payments for institutional clients, aiming to make fund transfers more efficient and expand access to Coinbase’s payment infrastructure.
Although details about the deal are still sketchy, the two companies plan to provide more information in the coming months. But indications from the early discussion show that the firms are looking for the best ways to bridge the gap between on-chain stablecoin payouts and fiat balances.
Citi Launched New Services To Support Institutional Clients
Head of Payments at Citi, Debopama Sen, commented on the partnership. “We’re thrilled to join Coinbase to explore new and innovative payment options for our global clients,” she said.
Sen added that Citi’s over 300 payment networks across 94 global markets will help further support clients, ensuring seamless payments.
The partnership will build on Citi’s broader strategy of offering solutions for payments as clients continue to expect real-time money movement 24/7. In line with its strategy, Citi recently launched services like 24/7 USD Clearing and Citi Token Services to support institutional clients for round-the-clock transactions.
Citi is a major player in the global technology and e-commerce market. It collaborates with 20 major fintech firms and works with 90% of the major e-commerce firms globally. Citi said the collaboration will position the firm on a stronger footing for corporate payment innovation.
Other Banks Are Also Exploring Crypto Custody Options
The collaboration will also speed up the adoption of digital asset settlement options across the global payments market. It will bring digital payment technology closer to merchants. With Citi’s involvement in digital payments, it’s a signal that traditional institutions are warming up to digital finance. Other major financial institutions are showing increased interest in integrating digital finance infrastructure rather than building from scratch.
Citi and Coinbase intend for the partnership to eventually expand beyond institutional clients, giving more corporate users integrated access to both fiat and digital payment systems.
Citi is not relenting in its efforts to establish itself in the digital finance space. Apart from this partnership with Coinbase, the bank has also expressed interest in the possible evaluation and launch of a bank-issued stablecoin.
The bank says the move is part of its plan to enter the blockchain-based finance sector. The bank is also exploring crypto custody and tokenized deposits. Other banks are also exploring more digital finance options. Banks like Wells Fargo, Bank of America, and JPMorgan have also shown interest to exploring stablecoin opportunities.
