How to get started with Bitcoin, a new financial technology
Bank of America and U.S. Bank were among the first to offer Bitcoin as a digital currency on Monday, bringing the total number of U.N.-approved cryptocurrencies to more than $4.7 trillion.
Bitcoin, a virtual currency created in 2009 and currently worth $1.0 billion, was developed as a way to facilitate anonymous transactions that bypass traditional banking systems.
Users can buy and sell Bitcoins without a bank account, and they can send or receive digital goods or services without needing a middleman.
Bank of America, a unit of Bank of New York Mellon, said its new online wallet service will be available on July 1.
Bank of Oklahoma said the service will launch on Aug. 2.
The new products will enable users to send money to each other with Bitcoin transactions, buy and resell goods, and access financial services without the need for a third party.
Bitcoin has grown in popularity over the past few years, especially among enthusiasts and libertarians, who want to avoid the costs and risks associated with traditional financial institutions.
The cryptocurrency is also gaining popularity with the tech-savvy among millennials.
Bank executives said they will be partnering with banks and other financial institutions to bring Bitcoin to their customers.
They will also be able to use the service to make money transfers between each other and with other digital currencies, according to the bank’s press release.
Bank customers will also see a change in the way their money is handled and secured, as the company will no longer store bitcoins in custodial wallets.
Instead, they will pay a Bitcoin transaction fee, which can range from 1 to 1.5 percent of the amount of the transaction.
The bank will use that money to cover its costs, and it will then issue a Bitcoin to its customers.
Bank employees can make and send payments using Bitcoin, as well.