Bitstamp joins hands with France’s largest bank to provide Bitcoin services to investment funds, Bitcoin investment finally gets full authorization and supervision

European bitcoin exchange Bitstamp and France’s largest bank, Crédit Agricole, have teamed up to launch a new service aimed at allowing investment funds to accept bitcoin.

As part of the partnership, Crédit Agricole’s asset servicing arm CACEIS will provide a number of services, including clearing, safekeeping and custody of Bitcoin purchased from Bitstamp.

The goal of the partnership is to increase the flow of capital to new investment funds by providing an alternative means of financing in the form of digital currency.

The two parties stated that by the second quarter of 2017, fund sponsors using CACEIS as a fund transfer agent will be able to accept Bitcoin as a fund subscription method.

Bitstamp CEO Nejc Kodrič sees the partnership as a step toward bitcoin’s mainstream adoption and becoming a legitimate form of investment.

“This is the first time Bitstamp has partnered with a market-leading asset servicing bank like CACEIS, meaning bitcoin investments can now be made within a fully licensed and regulated framework.”

As Bitcoin's appeal grows, it's not hard to see why some investors are becoming more interested in it. In some regions with capital controls, investors can use Bitcoin to ease regulatory headaches and simplify cross-border payment processes.

Joe Saliba, Deputy Chief Executive Officer of CACEIS said:

“Fund sponsors are continually looking for new sources of investment capital. By connecting fund sponsors with a regulated bitcoin exchange, we are supporting their business development goals.”

Bitstamp has been doing an excellent job in digital currency compliance in Europe. In July 2016, the regulator gave it the green light, and the exchange became the first fully authorized payment institution in Luxembourg.