Dutch Fintech Bunq has launched flexible cryptocurrencies across the European Union and has become the first European Challenger Bank to offer services without the required lock-up period.
The Amsterdam-based bank portrays its position as Europe’s second largest Neobank, and partners with Crypto Platform Kraken to provide a staking service that allows users to earn 10% per year with the cryptocurrency of their choice. The service operates throughout the Netherlands, France, Spain, Belgium, Italy, Ireland, Germany, and the broader European economic zone.
Users can bet on digital assets to maintain their ability to buy or sell or withdraw their holdings at any time, while assisting in verifying blockchain transactions. Flexibility addresses what BUNQ research has identified as an important barrier for crypto investors. Nearly 65% of users cited uncertainty about market timing as the biggest obstacle to profiting from digital assets.
The expansion will be built in April’s crypto launch
Staking rollout extends Bunq’s Crypto products to Bunq’s Crypto products. It was launched in April under the Bunq Crypto brand. Bank crypto services run through a partnership with Kraken, allowing users to access the trading platform’s infrastructure while maintaining the banking interface.
“Our users have been looking for an easy way to grow cryptography,” said Joe Wilson, Bunq’s chief evangelist. “With flexible staking, they can make money with the codes they already own, while always not buying, selling or placing bets at will.”
The Crypto expansion occurs as BUNQ pursues a broader growth plan, including applications for a US broker-dealer license as part of its entry into the US market. Banks have established themselves as a technology-centric alternative to traditional European banks, targeting customers who want integrated digital financial services.
Neobank is expanding further to Crypto, but its partner exchanges expand its services beyond digital assets. Following the Breakout acquisition, it plans to begin offering its own trading services.
It’s the largest in Europe, but still far behind in innovation
Staking launch places BUNQ ahead of other European neobanks in crypto services, but traditional banks and dedicated crypto platforms already offer similar products. The key difference is the flexible model of BUNQ, which removes the fixed lockup period, usually associated with the reward of staining.
BUNQ is certainly the largest challenger bank in the continent of Europe, with over 20 million customers, but far behind Revolut, which has 60 million users.
Efforts to acquire new crypto products and broker-dealer licenses in the US could help BUNQ close some of the gap between the two fintechs.
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