Bitcoin firm signs compliance deal with banking giant Barclays

Today, British banking giant Barclays signed contracts with eight graduates of its New York-based FinTech accelerator, two of which will work with the companies’ applications using blockchain technology.

Co-hosted by TechStars (one of the top 10 startup incubators in the United States), 11 startups participating in the program completed a 13- week course program, including bitcoin compliance company Chainalysis and ledger startup Wave .

In an interview with the New York Business Journal, Barclays Chief Design and Innovation Officer Derek White said that the partnership with startups Chainalysis and Wave could change the status quo for banks.

Barclays said it would work with Chainalysis to allow its financial crime and transaction detection team access to the necessary information to conduct transactions with bitcoin companies.

Chainalysis co-founder Jonathan Levin said the move shows Barclays is one of the first mainstream financial institutions to serve bitcoin companies, which have struggled to access basic banking services.

Levin told CoinDesk :

“ This is the first time a leading bank has integrated a compliance solution that will enable them to provide banking services to Bitcoin and blockchain companies. ”

As part of the project, Barclays is providing non-monetary support to the startups, while startup incubator TechStars will take a 6% equity stake.

The announcement comes on the heels of news that Barclays will be working with bitcoin service provider Safello , a graduate of the London accelerator, on a bitcoin proof of concept as a way to help charities accept bitcoin as a means of payment.