Bitcoin companies are attracting interest from all aspects of life, including the financial sector it is trying to disrupt. Rather than fighting the winds of change, financial institutions are slowly warming up to the idea of using blockchain technology for their own business model. As a result, Bitcoin companies will sometimes receive an investment from unlikely partners.
Westpac Banking Corp and Coinbase
It is no secret that most major banks want absolutely nothing to do with Bitcoin companies, especially if that company is a digital currency exchange platform. Every incoming and outgoing transaction needs to be manually verified for any money laundering risks, and exchanges create a lot of small transactions.
As every transaction is reviewed, this costs the bank a lot of money, as they will need to increase their staff to account for the increased volume. From that point of view, you can understand why most banks want nothing to do with such businesses, simply due to the additional overhead costs.
But in more recent times, traditional financial institutions have started to see the light and grown fond of blockchain technology. Not necessarily for its public ledger aspect, but because the