American banking giant has invested more $5 billion to Elliptic, cryptocurrency surveillance technology provider
Wells Fargo increased its participation in the startup to $28 billion. Elliptic provides functioning of more than two hundred global crypto exchanges. “Earlier, there was no opportunity for banks to get on cryptocurrency exchange, as one couldn’t open an account,” Tom Robinson, co-founder of Elliptic said to Coindesk.com.
So far, almost all major banks avoided cryptocurrency business. They were convinced that such business wasn’t interesting for them due to high risks. Market split into smaller and more flexible financial institutions, which weren’t scared of the novelty in financial world.
According to analysts, companies similar to Elliptic have a bright future, and banks know it. Wells Fargo is not the only bank investing or having invested inputs to Elliptic. Last year, Japanese internet banking giant SBI Holdings invested $10 billion to Elliptic, which used the money for Asian expansion.