30 May 2015
Your browser is unable to support Flash files.

Standard Bank tests current account-linked bitcoin wallet

11 February 2014  |  13823 views  |  2 bitcoin

Standard Bank has begun piloting a current-account linked bitcoin wallet developed by South African outfit Switchless.

Speaking at Finovate Europe, Switchless co-founder Marcus Swanepoel said that his firm's technology enables Standard Bank account holders to buy bitcoin with their sovereign currency account and store it in the secure wallet.

The wallet is currently only being tested by a small pilot group inside Standard Bank and there has been no decision made yet on whether to roll it out to the public.

The version demonstrated at Finovate lets users buy, sell and save bitcoins from within the Standard Bank online banking portal. Online banking credentials are used to verify the identity of the bitcoin wallet holders.

Other features shown off by Switchless include a merchant plugin which allows online retailers to accept bitcoin as payment for goods.

Comments: (2)

Robert Bell - PassportFX - London | 12 February, 2014, 04:24

This is very bold of Standard Bank. They'd have to offer it as an investment product with full disclosure on risk. And how do they ensure that the wallet does not EVER receive funds from the bitcoin exchange? There's no guarantee of counterparty ID At all..... 

At this point in time, it is probably MORE likely than not, that there are laundering (tax evasion) or criminal proceeds of crime (drug sales) attached to bitcoins than cash. They say crime uses 30% of the cash in an economy, but it stays black the rest of the market is realitively clean. If you buy bitcoin with Rand, who knows who you've just aided and abetted in placement. This is a direct conduit into Standard Bank. Eeek. 

1 thumb up! 1 thumb up! (Log in to thumb up)
A Finextra member | 18 February, 2014, 23:38

Any system has bad actors and good actors.  When the good actors out number the bad, it becomes more difficult to discredit the system.  Is the internet discredited by pornographers and paediphiles ?  Is the credit card system discredited by frequent fraud and theft of credit card information (the fact that such data needs to be provided in order to effect a transaction being it's supreme flaw) ?  Is the entire banking system discredited by a certain global bank recently fined $2billion for money laundering for South American drig cartels and thereby being indirectly linked to the untimely death of 80,000 people ?

Be the first to give this comment the thumbs up 0 thumb ups! (Log in to thumb up)
Comment on this story (membership required)
Log in to receive notifications when someone posts a comment

Finextra news in your inbox

For Finextra's free daily newsletter, breaking news flashes and weekly jobs board, sign up now.

Related blogs

Create a blog about this story (membership required)

Related stories

10 February, 2014
07 February, 2014
30 January, 2014
12 December, 2013
25 October, 2013

Related company news

 
Your browser is unable to support Flash files.

Top topics

Most viewed Most shared
Google unveils Android Pay
5373 views comments | 23 tweets | 27 linkedin
CBA to test Ripple for intra-bank transfer...
5277 views comments | 25 tweets | 21 linkedin
Visa Europe opens innovation hub in Israel
5032 views comments | 19 tweets | 9 linkedin
eBay and Village Capital run accelerator f...
4819 views comments | 10 tweets | 4 linkedin
Anti-Money Laundering From False Positives...
4796 views 0 | 1 tweets | 1 linkedin

Featured job

Basic £90-110K OTE c. £200K AND NO CEILING
London based with substantial travel in the DACH Region

Find your next job