Just because traditional banks do not have the framework to accept digital asset deposits, it doesn’t mean there are no financial institutions that are crypto-friendly.
Crypto-friendly banks accept cryptocurrency as medium of monetary trade and allow access to lower transaction fees. Furthermore, they guarantee that your transaction or account will not be reversed or blocked when using cryptocurrency as means of trade.
In this guide, we compare the best crypto bank accounts to consider opening in 2022 – in terms of fees, eligibility, and core features.
- Revolut (US & Europe)– The best crypto bank overall (US-friendly)
- Monzo – One of the best crypto-friendly banks in the UK (FSCS Protection)
- Binance (Global)- Provides the best infrastructure services for blockchain technology
- Nuri (Europe)– Traditional and crypto banking services for Europeans
- Coinbase (Global)– Regulated crypto exchange with FDIC protection on USD balances
- Ally Bank (US) – Seamless integration with Coinbase
- Wirexapp (UK & Europe Region)– Built-in crypto exchange
Revolut (US & Europe)– Overall best crypto bank (US-friendly)
Founded in 2015, Revolut has become one of the most popular online banks with over 18 million personal accounts globally. They offer their users a seamless mobile app fully optimized for both iOS and Android smartphones. In terms of eligibility, Revolut accepts customers from Europe, the UK, Australia, Singapore, Japan, and Switzerland, as well as the US.
The popular online bank allows users to add funds in their local currency, exchange them with industry-leading rates, and send and receive funds just like using a traditional bank account. Furthermore, Revolut offers its customers a debit card which can be used online, in-store, or at an ATM.
When it comes to crypto, Revolut allows users to buy tokens and coins with ease within the app itself. It offers over 30 leading crypto assets, including Bitcoin (BTC), Ethereum (ETH), Ripple (XRP), Dogecoin (DOGE), USDC, and many others. The drawback here is the heavy fees the user has to pay when buying or selling crypto of of 2.5% per slide, or 1.5% if you are a Revolut premium plan account holder.
Monzo – One of the best crypto-friendly banks in the UK (with FSCS protection)
If you are UK-based, this mobile-only crypto bank is an excellent pick as it is authorized and regulated by the FCA, and most importantly, your GBP balances are covered by the FSCS up to the first £85,000. You will be given a debit card issued by MasterCard with a local UK bank account number and sort code, allowing you to perform any financial services with your Monzo account.
Users can choose between standard or premium accounts, where the premium account costs £5 per month and allows higher ATM withdrawal limits, regular credit reports, and a number of other core features. When it comes to buying and selling crypto, as long as the exchange of your choice is regulated, you will have no problem withdrawing money back to your Monzo account from it. Furthermore, Monzo’s fees are comparable with traditional banks fee plans.
Binance – the best infrastructure services for blockchain technology
Binance is one of the most popular crypto exchanges, providing all major functionalities that a traditional bank would, such as loans, credit cards, fixed deposits, etc. Furthermore, Binance uses Visa Card to seamlessly enable purchases from 60 Million merchants worldwide using over 150 altcoins alongside Bitcoin. Binance’s platform is compatible with the user’s experience level and risk tolerance. It offers low transaction fees and flexible interest with less slippage and comparatively low handling fees. Moreover, your stablecoin portfolio on Binance can generate you passive returns.
Nuri (Europe)– Traditional and crypto banking services for Europeans
Nuri describes itself as ‘new reality banking’ as it wants to build a bridge between crypto and traditional fiat money. After signing up and verifying your identity, Nuri will provide you with a fully functional German bank account with a local IBAN. This, in essence, means that you can perform SEPA payments within Europe and SWIFT transfers internationally. Users receive a debit card issued by Visa, a funds coverage protection scheme of up to €100,000 per account, as well as biometric logins and real-time transaction notifications.
Nuri allows users to invest in digital currencies directly within their account, charging a standard fee of 1% per purchase and again when users cash out. A competitive advantage over other crypto-friendly banks is the ability of controlling your private keys by choosing whether to keep your crypto assets in a custodial or non-custodial wallet. Furthermore, Nuri offers a crypto savings accounts with APY standing at 5% on Bitcoin. With that said, Nuri doesn’t require a minimum lock-up period on interest accounts, any interest generated is paid out on a weekly basis.
Coinbase (Global)– Regulated crypto exchange with FDIC protection on USD balances
Coinbase is one of the first and largest crypto exchanges in terms of global account holders and daily trading volume. Coinbase is regulated by the SEC and is a public company that’s trading on the NASDAQ. It allows users to deposit and withdraw funds in fiat currency such as US dollars, Euros, GBP and to trade over 50+ coins. Furthermore, if the user holds a USD balance with Coinbase, the funds are protected by the FDIC for up to $250,000. A drawback is that Coinbase does not yet offer interest accounts, but it does allow you to engage in crypto staking. However crypto staking is available for only six digital currencies – Ether, Dai, Tezos, Algorand, Cosmos, and Cardano.
Opening a Coinbase account is free, however when users wish to deposit funds with a debit or credit card they will have to pay a whopping 3,99% fee. On the other hand, bank transfers are free but a commission of 1,49% is still charged when buying or selling crypto.
Ally Bank (USA) – Seamless integration with Coinbase
Customers of the online bank Ally Bank have an integrated crypto exchange from which they can access all cryptocurrencies available on Coinbase. Users can purchase crypto directly through their credit card or debit card. Besides the attractive investment options, such as savings products, loans, and retirement services the digital bank doesn’t have any monthly trading fees or minimum deposits. Furthermore, Ally Bank offers up to 2.75% annual interest on your invested funds. The drawback? Ally Bank is available only to US citizens.
Wirexapp (UK & European Region) – Built-in crypto exchange
Wirex is a crypto-friendly banking service that allows you to buy/sell over 21 fiat currencies (GBP, USD, EUR) and cryptocurrencies (BTC, LTC, XRP) in real-time. With the Mastercard debit card users can spend crypto anywhere with zero fees at interbank exchange rates while also getting 2% cash-back rewards.
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