The Truth About Traditional Banks Embracing Encryption in 2024: Which Ones Are Actually Reliable?

Question

There are already 420 million people using encryption assets globally, but the question arises - does your bank really support it?

Here, it is necessary to clarify a concept: many people confuse “encryption banks” with “encryption-friendly banks.” The former is a completely decentralized new species based on blockchain (such as Scallop), while the latter is just a traditional bank with a new feature. What most people actually use is the latter.

How Traditional Giants Play

JPMorgan Chase has launched its own coin, JPM Coin, for inter-institutional cross-border settlements, but to put it bluntly, ordinary retail investors find it hard to access. They primarily serve encryption exchanges and asset management companies, with compliance being the top priority.

Revolut (UK FinTech) is more user-friendly - supporting 30+ currencies, with direct trading in the app, and packaged DeFi products. The user experience is good, but be aware of the fees.

Small but Beautiful Contestants

Wirex collaborates with Mastercard, featuring Web3 accounts + encryption debit cards, with a 0% currency exchange fee. Cash App (under Square) allows you to directly withdraw Bitcoin to a personal wallet, which is indeed interesting. Although Monzo does not facilitate currency trading, it allows you to manage all assets within one app.

Mercury focuses on enterprise clients, with $5 million in FDIC insurance coverage, which is attractive to Web3 startups.

Core Indicators for Choosing a Bank

Is it possible to hold both fiat currency and encryption at the same time?
Transparency of transaction fees
Integration with exchanges/wallets
Is there really FDIC/regulatory protection?
User reputation (this is crucial)

Realistic Considerations

Not all banks genuinely embrace encryption; some are just following the trend. When choosing, you should look at actual functionality rather than marketing jargon — those that allow you to deposit and withdraw funds quickly, with reasonable fees, and without inexplicably freezing accounts are what matter. Institutions like JP Morgan, Revolut, and Wirex are at least ahead of the curve, but you should also choose based on your region and actual needs.

Disclaimer: For learning reference only, not investment advice.