Banking executives who once viewed cryptocurrency as radioactive are now racing to launch digital asset services, creating fresh opportunities for infrastructure providers like Coinme that spent years building compliant systems while larger institutions sat on the sidelines.
The transformation marks a dramatic reversal for an industry that had largely avoided crypto due to regulatory uncertainty. Today, approximately 28% of American adults own cryptocurrencies, and major financial institutions are scrambling to meet customer demand after years of resistance. Companies like Seattle-based Coinme, led by CEO Neil Bergquist, find themselves uniquely positioned to benefit from this institutional awakening.
Regulatory Walls Come Down
Federal banking regulators removed the primary barriers blocking bank crypto adoption through a series of coordinated actions in 2024 and 2025. The Federal Deposit Insurance Corporation, Federal Reserve, and Office of the Comptroller of the Currency withdrew previous restrictive statements on crypto assets in April 2024, followed by the OCC’s Interpretive Letter 1183 in March 2025, which eliminated requirements for banks to seek prior approval before offering digital asset services.
“Even banks, like traditional banks, are looking at crypto and stablecoin integration opportunities now that they’re getting more support on the federal level to be able to do that,” Bergquist observed during a recent interview.
Charles Schwab CEO Rick Wurster told Reuters that regulatory “traffic lights” were flashing “pretty green” for large firms to expand crypto offerings. The Securities and Exchange Commission, under new leadership, formed a crypto task force led by Commissioner Hester Peirce to accelerate regulatory framework development.
Capital Flows Follow Clarity
Banks had previously avoided crypto services due to concerns about inadvertently violating unclear regulations. Bergquist noted that institutions worried they might face prosecution for operating in regulatory “gray areas” without explicit guidance from federal agencies.
“That also allows large pools of capital to flow into the industry because they know that it’s not going to be banned or shut down erroneously for some reason,” Bergquist explained. “They feel like they’re not going to go against regulators if they do something in the gray area that a future administration or someone disagrees with.”
The cryptocurrency market’s total capitalization reached $3.7 trillion following the November 2024 election, more than doubling since early 2024. Bank of America CEO Brian Moynihan indicated his institution could launch stablecoins, while Morgan Stanley announced plans to explore adding crypto to its e-trade platform.
Goldman Sachs CEO David Solomon acknowledged at a Reuters conference that while Bitcoin attracts significant attention, the bank’s ability to engage directly in crypto markets had been limited by previous regulations. “If the regulatory structure changes, we would evaluate that,” Solomon stated.
The Infrastructure Advantage
Companies like Coinme benefit from having built regulatory-compliant crypto infrastructure during the years when traditional banks remained hesitant. Bergquist’s firm operates under money transmitter licenses in 37 states and has processed over $1 billion in cryptocurrency transactions since 2014.
“An integration timeline can be weeks,” Bergquist said when describing how quickly banks can deploy Coinme’s crypto-as-a-service APIs. “The APIs themselves are turnkey, ready to go, so depending on the front-end application, it might be plug and play.”
Building crypto infrastructure internally requires substantial investment, with costs often starting at $400,000 according to industry estimates. Banks seeking faster market entry can instead partner with established providers that already handle compliance, fraud detection, and regulatory reporting across multiple jurisdictions.
Coinme recently launched partnerships demonstrating this model. The company integrated its services with Exodus, a self-custody wallet provider, allowing users to purchase crypto with debit cards while maintaining control of their private keys. This arrangement gives traditional financial institutions a way to offer crypto services without handling custody themselves.
Market Momentum Builds
Industry executives predict the banking sector’s crypto adoption will accelerate significantly in the second half of 2025. Speaking at Paris Blockchain Week, Messari CEO Eric Turner and Sygnum Bank’s Thomas Eichenberger forecasted a “global banking push” into Bitcoin services as regulators embrace digital assets.
“No product does billions in volume right out of the gates, so being able to leverage that infrastructure is going to inspire a lot of entrepreneurs,” Bergquist noted, referring to the advantage of using existing systems rather than building from scratch.
The crypto banking market exceeded $5.6 billion in 2024, driven by growing consumer adoption and institutional interest. Survey data indicates 43% of respondents plan to purchase cryptocurrency within the next year, creating pressure on banks to offer these services or risk losing customers to crypto-native competitors.
International banks with U.S. operations are particularly positioned to benefit from regulatory clarity. Many had developed plans for crypto services but delayed implementation due to concerns about U.S. regulatory enforcement. Eichenberger predicted these institutions would launch crypto offerings once confident that American authorities would not pursue enforcement actions.
The regulatory environment continues shifting in favor of digital assets. President Trump’s administration has signaled strong support for cryptocurrency innovation, with executive orders establishing working groups to recommend clearer policies and the appointment of crypto-friendly officials to key regulatory positions.
“This coming year presents a unique opportunity for crypto to cross the chasm and become utilized as a generally accepted store-of-value and mechanism for payments,” Bergquist said, reflecting growing optimism about mainstream adoption.
Banks entering the crypto space will likely begin with custody services and limited trading offerings before expanding into more complex products. Most institutions prefer partnerships with existing crypto firms rather than building capabilities internally, creating opportunities for infrastructure providers with established compliance frameworks and technical systems.
For companies like Coinme that invested years building regulated crypto infrastructure while traditional banks remained on the sidelines, the current moment represents validation of their patient approach to market development.
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