Binance Partners with Major Spanish Bank BBVA

Binance, the world's largest cryptocurrency exchange, has initiated an independent custody service for customer assets in partnership with major Spanish bank BBVA. The Financial Times reported on the 8th, citing sources familiar with the matter.

This partnership is seen as a move to restore trust after Binance was fined $4.3 billion by US authorities in November 2023. Following the collapse of FTX in 2022, where billions of dollars were frozen during bankruptcy proceedings, investors have been seeking external custody solutions for their assets.

At BBVA, the custody system involves customer funds being deposited as US Treasury bonds with the bank. Binance accepts these as collateral, and insiders say '...