• Wells Fargo explores the benefits of blockchain technology.
  • The bank’s coin won't be available for customers.

The fourth-largest bank in the world by market capitalization announced the plans to launch a pilot version of its own blockchain-based cryptocurrency called Wells Fargo Digital Cash. The new technology is aimed to facilitate cross-border payments between the bank’s branches.

The coin based on the bank’s proprietary blockchain will be pegged to the US Dollar.  The bank hopes that the new technology will help to  keep track of payments within its internal network and bypass third parties in international transfers.

“We are eliminating the intermediaries which can often extend the timeline to be able to do cross border money transfers,” Lisa Frazier, head of the Innovation Group at Wells Fargo said.

However, the coin will be used only for the bank’s internal needs, and it won’t be available for customers. Actually, Wells Fargo corporate clients won't notice any differences in interacting with the bank.

The pilot version of the system will be launched next year, however, the bank has already performed tests by transferring money between Canada and the United States. 

Meanwhile, Wells Fargo remains skeptical about cryptocurrencies like Bitcoin. The bank considers them speculative assets. Last year, Wells Fargo banned cryptocurrency purchases with credit cards, citing excessive volatility of the asset.

Read more about the ban

Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility.

Cryptos feed

Latest Crypto News & Analysis

Editors’ Picks

Bitcoin Price Analysis: BTC/USD makes it way above 61,8% Fibo retracement

Bitcoin hit the intraday bottom at $7,092 and recovered to the area above $7,400 by the time of writing. While it is still below Wednesday's high ($7,770), the upside momentum Amai gain traction if the price settles above pivotal $7,350 (61,8% Fibo retracement for the move from $3,226 to $13924).

More Bitcoin News

Litecoin Price Analysis: LTC/USD false breakout culminates in a bull trap

Litecoin is trading at $44.33 after a minor recovery from $43.93 (intraday low). Over the last few days, apart from yesterday, Litecoin has been forming a lower high and a lower low pattern.

More Litecoin News

Ethereum Price Analysis: ETH/USD gives back early gains to trade below $146.00

ETH/USD is trading `under $146.00, off the intraday low at $144.03. Despite the sharp movements on Wednesday, November 4, and during early Asian hours on Thursday, the second-largest digital asset has stayed unchanged on a day-to-day basis. 

More Ethereum News

Ripple price analysis: $0.2200 is a hard nut to crack for XRP/USD bulls

Ripple's XRP hit $0.2263 on Wednesday amid strong rally on the cryptocurrency market. However, the upside momentum proved to be unsustainable as the coin retreated below $0.2200 and tested $0.2124 low during early Asian hours. 

More Ripple News


Bitcoin Weekly Forecast: Black Friday injects some volatility into the market

Whether the market has reached the bottom, or more sell-off is in store, the time and the illiquid holiday markets will tell. 

Read the weekly forecast