PNC Bank has begun offering direct spot Bitcoin trading to eligible private bank clients, marking a significant step as the first major U.S. bank to enable buy, hold, and sell functions directly within its digital platform.
This launch represents the initial phase of PNC's partnership with Coinbase, which was announced in July. The collaboration is powered by Coinbase's Crypto-as-a-Service infrastructure, providing trading and custody solutions.
PNC Private Bank primarily serves high-net-worth and ultra-high-net-worth individuals, families, family offices, and business owners. The bank has indicated plans to extend this access to additional client segments and introduce more functionalities over time.
According to data from the Federal Reserve, PNC Bank is the eighth-largest commercial bank in the United States, managing approximately $564 billion in assets and operating over 2,300 branches nationwide.
While several prominent U.S. banks have been expanding their cryptocurrency offerings this year, many have focused on custody services or investment products like exchange-traded funds (ETFs).
For instance, on December 2, Bank of America announced that starting next year, its wealth management clients will gain access to four Bitcoin ETFs. These ETFs are issued by Bitwise, Fidelity, Grayscale, and BlackRock.
These ETFs offer investors exposure to the Bitcoin (BTC) price through regulated funds traded on stock exchanges, eliminating the need for direct ownership and management of the digital asset.
Growing Interest in Crypto Among Wealthy Clients
As cryptocurrency adoption continues to become more widespread, asset managers and crypto exchanges are increasingly developing services tailored for wealthy clients.
In June, JPMorgan announced that its trading and wealth-management clients would be able to use crypto ETFs as collateral for loans. The bank also stated its intention to incorporate clients' cryptocurrency holdings into its assessments of their overall net worth.
Binance has recently introduced a specialized concierge service designed for family offices, asset managers, and private funds entering the cryptocurrency market.
Cryptocurrency allocations are also on the rise in Hong Kong, mainland China, and Singapore, with some investors planning to allocate approximately 5% of their portfolios to digital assets. Wealth managers in these regions have reported a surge in client inquiries and strong interest in new cryptocurrency funds.
The increasing demand for cryptocurrencies among affluent investors is significantly influencing the financial advisory market. A survey conducted by Zerohash in November, which polled 500 U.S. investors aged 18 to 40, found that 35% had moved funds away from financial advisors who did not offer cryptocurrency access.
