Bitstamp, Dukascopy Bank Partners To Facilitate Bitcoin Funding and Withdrawals
Bitstamp has partnered with the Dukascopy bank to provide the bank’s customers with cryptofinancing. The Swiss bank is a leading Swiss Internet bank and its customers can now send Bitcoin (BTC) to the Swiss FX market, and the cryptographic value will be converted to US dollars.
Dukascopy customers can also withdraw their money in the form of BTC in their crypto wallets. Bitstamp will enable fiat to be converted to Bitcoins and vice versa.
The Bitstamp team announcement further explained why this strategic partnership was crucial for the adoption of cryptocurrencies.
“This partnership represents another step towards our goal of bridging the gap between crypto and traditional finance. It is further proof that our efforts in compliance and regulation continue to deliver results at a time of rapid maturation for the cryptocurrency industry.”
The Dukascopy bank based in Geneva offers the retail and institutional investors both traditional banking services and cryptocurrencies trading (via CFDs) and forex and binary option trading. The bank says the following conditions apply to the financing of trading accounts using cryptocurrencies:
- Cryptocurrency deposits and withdrawals from trading accounts is only possible in the form of Bitcoin at this time.
- The BTC is converted to a USD by the bank and credited to the customer account immediately after it has been transferred to the bank.
- Withdrawals involve converting the USD from the customer account to BTC and transferring it to Bitcoin wallet that is attached to the account of the client.
- US dollar is used as the base currency (fiat).
- The maximum net amount (cumulative) which is allowed to be deposited is $50,000 (total deposited minus the sum total).
- Deposits of Bitcoin are not processed immediately. As a result, the trader must accept the possibility of losses due to the change in the conversion rate for BTC/USD.
- Deposits and withdrawals of BTC will not be process on weekends. The transactions will be processed only on business days in Canton of Geneva, Switzerland.
- Dukascopy does not facilitate direct trading of cryptocurrencies. The bank’s clients can buy and sell crypto through CFDs (Contract for Difference), whose price is based on the underlying price movements of cryptos or other derivatives.