Europe is Leading the World in Crypto-Friendly Banks 🏦
Europe’s Banks Are Already Here—The Rest Are Catching Up
In a world where crypto-asset adoption is accelerating, Europe stands out as the global leader in crypto-friendly banks. While other regions, particularly the U.S. and Asia, are still navigating regulatory uncertainty, European banks—including multiple Global Systemically Important Banks (G-SIBs)—have spent years building out infrastructure, developing expertise, and securing the necessary approvals to offer a full suite of crypto services.
The Contrast: Europe vs. the U.S. and Asia
Just a few weeks ago, the U.S. Office of the Comptroller of the Currency (OCC) issued long-awaited guidance confirming that banks can engage in crypto-related services, such as custody and stablecoin activities. However, this is merely a starting point for the U.S. banking sector. Even with the OCC’s green light, most major U.S. banks remain cautious, with only a handful experimenting with blockchain-based payment settlements and tokenized assets.
Meanwhile, European banks are already offering these services at scale. Spain’s BBVA, for example, announced that its customers will soon be able to buy, sell, and manage Bitcoin ($BTC) and Ethereum ($ETH) directly within the bank’s app. This is not an isolated case—Europe has over 50 banks actively engaged in crypto services, from retail crypto trading to institutional custody, staking, and even issuing their own stablecoins.
Asia presents a more complex picture. Some financial hubs, like Singapore and Hong Kong, have embraced crypto regulation and encouraged banks to provide services to digital asset firms. Singapore’s DBS Bank launched a digital exchange offering crypto trading and custody for high-net-worth clients as early as 2020. However, the rest of Asia remains a mixed bag, with some governments still cautious about mainstream crypto adoption.
The Numbers Speak for Themselves
✅ 50+ European banks now provide crypto-related services, ranging from trading, custody, staking, brokerage, and crypto payment solutions to offering banking services for crypto firms.
✅ Europe has the largest number of crypto-friendly banks globally, far outpacing North America and Asia.
The Historical Evolution of Crypto Adoption by European Banks
The journey toward crypto banking in Europe didn’t happen overnight. It evolved in distinct phases:
📌 2017–2018: The Early Adopters
A few pioneering European financial institutions started dipping their toes into the crypto space. Swissquote became one of the first regulated banks in Europe to allow customers to trade Bitcoin as early as 2017.
Fidor Bank (Germany - no longer operational) partnered with crypto exchanges like Kraken, signaling an early willingness to bank crypto firms when most institutions avoided them.
📌 2019–2020: Regulatory Frameworks Emerge
Switzerland’s FINMA granted banking licenses to Sygnum and SEBA Bank (now AMINA Bank) in 2019, legitimizing fully regulated crypto banks for the first time.
Germany introduced a law in 2020 allowing banks to legally custody cryptocurrencies, leading to BaFin-licensed institutions like Commerzbank and DZ Bank expanding into the sector.
France introduced the DASP registration and license, paving the way for banks like Société Générale to launch crypto divisions like SG-Forge, which also issued a euro stablecoin.
📌 2021–2022: Expansion Amid a Bull Market
European banks moved beyond pilots and launched fully operational crypto services. BBVA Switzerland began offering Bitcoin trading and custody to private banking clients.
Standard Chartered and Northern Trust launched Zodia Custody, catering to institutional investors.
German savings banks began exploring crypto services for their millions of customers, while BNP Paribas and HSBC quietly invested in crypto custody tech.
📌 2023–2024: Crypto Goes Mainstream in European Banking
Société Générale-FORGE became the first bank to receive a full DASP license in France, enabling it to trade and issue regulated digital assets.
Commerzbank became the first large German bank to receive a BaFin license for crypto custody and trading.
Santander started offering Bitcoin and Ethereum trading for high-net-worth clients in Spain.
BBVA expanded its retail crypto services to Spain, integrating BTC/ETH trading directly into its mobile app.
European fintech banks like Revolut, N26, and Trade Republic fully integrated crypto trading into their platforms, making it accessible to millions.
Regulatory Clarity: Europe’s Biggest Advantage
One of the key reasons European banks lead in crypto adoption is regulatory clarity. Unlike in the U.S., where banks remain hesitant due to inconsistent regulatory approaches, Europe has provided clear and enforceable rules under the Markets in Crypto-Assets (MiCA) Regulation.
Why MiCA Matters:
It establishes a harmonized framework across all EU countries, ensuring banks can confidently offer crypto services without facing conflicting regulations.
MiCA provides investor protection measures, reducing risk for banks engaging in crypto-assets.
Unlike the U.S., where institutions fear retroactive enforcement, European banks know what is required to comply and can plan long-term strategies accordingly.
Countries like Germany, France, and Switzerland had already implemented crypto-friendly frameworks before MiCA, which gave banks a head start. Now, with MiCA in place, institutions across Europe have a clear regulatory pathway to expand their crypto offerings even further.
Looking Ahead: Will Other Regions Catch Up?
With over 50 banks in Europe offering crypto services, the region has solidified its leadership. The question now is whether the U.S. and Asia can catch up. While Hong Kong and Singapore have made significant progress, and the U.S. OCC is opening doors, it will take years for competitors to build the same level of infrastructure and regulatory certainty that Europe enjoys today.
It will take years for other regions to catch up. Now, it's up to European banks to cement their first-mover advantage—a position Europe doesn't typically find itself in.