The Royal Bank of Canada (RBC) is exploring constructing a cryptocurrency buying and selling platform for each investments and in-store/on-line purchases.
This transfer would make the financial institution — the most important in Canada by market capitalization, with $661 billion CAD ($499 billion) in belongings beneath administration — the primary within the nation to launch a cryptocurrency trade.
The buying and selling platform would facilitate the shopping for and promoting of particular person digital cash, together with Bitcoin and Ether, in addition to bundled crypto belongings. RBC additionally plans to supply prospects the flexibility to open accounts to securely retailer their digital cash, in accordance with The Logic
RBC Cryptocurrency Patents
Although full particulars surrounding the financial institution’s plans should not but out there, RBC has utilized for 4 patents in Canada and the united statesthat present insights on the way it plans to combine cryptocurrency into its operations.
The U.S. patent functions, which had been filed in April and have become public in October, focus on how the financial institution can make the most of the rising reputation of cryptocurrencies.
One patent reads: “To individual users, managing cryptographic keys and transacting with different cryptographic assets can be a challenge. In some situations, cryptographic asset transactions may take time to be confirmed, and/or may not be compatible or supported by merchant systems or point-of-sale devices.”
As of press time, RBC did reply to The Logic’s request for remark, together with whether or not it plans to launch a cryptocurrency buying and selling platform and in that case, when it will launch.
“As part of the innovation and discovery process, RBC, like many other organizations, files patent applications to ensure proprietary ideas and concepts are protected,” RBC spokesperson Jean Francois Thibault stated.
Change of Tune
RBC’s transfer might come as a shock to some: final yr, the financial institution abruptly banned its shoppers from buying cryptocurrencies with credit score and debit playing cards, following related strikes by others like TD Bank and Bank of Montreal.
That stated, previously three years RBC has printed 27 blockchain-related patents coping with car information, digital rewards, good contracts, mortgage choices, and quite a lot of funding autos.
Canada has a variety of small cryptocurrency exchanges, however many have run into points, regulatory and in any other case. Just final week, Vancouver-based Einstein Exchange, which owes prospects over $16 million, filed for chapter.
Earlier this yr, Vancouver-based QuadrigaCX, which owes practically $215 million, went bankrupt after its CEO died in 2018 and nobody might receive the data on the non-public key he used to entry funds on the trade.
RBC’s functions counsel the way it plans to keep away from these sorts of points, making certain that non-public keys are simply locatable, whereas additionally abiding by different laws, resembling anti-money-laundering provisions.