Bank of America (BofA), America's second-biggest bank, has recently permitted the trading of bitcoin futures for some clients
According to reliable media sources, the American multinational investment bank will process Bitcoin futures with CME contracts.
This news has come shortly after the Amadeo Pietro Giannini founded bank created a new team dedicated to research crypto assets, marking Wall Street’s latest drive to capitalize on investors’ frenzy for crypto assets.
The memo was written by Candace Browning, the Bank's head of global research, who further disclosed crypto assets were one of the fastest-growing tech ecosystems and that the Charlotte-based bank may take advantage of becoming a thought leader in the field.
Bank of America joins the string of financial institutions to support the emerging crypto assets industry.
However, BofA is conservative towards Bitcoin futures trading, partly because of the large amount of margin required to trade Bitcoin futures, and number of clients allowed to take part with additional customers currently going through an onboarding process.
Global financial brands are increasingly looking to expand into the wild world of digital assets, with the likes of JPMorgan Chase & Co., BlackRock push to offer custody services or wealth-management products for cryptocurrencies.
Already a number of leading global banks that include Morgan Stanley began offering Bitcoin funds to their clients in Q1.
In the month of May, Goldman Sachs reportedly allowed some of its wealthy clients to buy and sell bitcoin futures in block trades through Chicago Mercantile Exchange (CME) Group, using Cumberland DRW as its trading partner.