Coinbase and PNC partner to allow clients purchase crypto

• Coinbase and PNC Bank have partnered to provide institutional and retail clients access to purchase crypto.
• As part of the agreement, PNC will begin providing Coinbase with select banking services, including settlement.
• COIN is down 1.6% despite the announcement.

PNC Bank is partnering with Coinbase (COIN) to offer retail and institutional clients the ability to buy, hold, and sell cryptocurrencies, according to a press release on Tuesday.

PNC set to offer crypto services to clients following partnership with Coinbase

PNC Bank, a major bank in the United States, has partnered with Coinbase to provide clients with access to cryptocurrency services, according to a press release on Tuesday.

The partnership will allow retail and institutional clients to buy, sell, or hold crypto through Coinbase's Crypto‑as‑a‑Service (CaaS) platform, while PNC will provide select banking services to the crypto exchange.

"We're thrilled to support their entry into the digital asset market with our leading Crypto as a Service platform, which provides PNC with a powerful set of tools to develop a scalable, high-growth business, built on a foundation of uncompromising security," said Brett Tejpaul, Head of Coinbase Institutional, in the press release.

The move comes as positive regulatory developments around digital assets in the US continue to fuel interest.

"This collaboration enables us to meet growing demand for secure and streamlined access to digital assets on PNC's trusted platform," said William S. Demchak, PNC chairman and CEO.

Other financial firms, including Goldman Sachs, BNY Mellon, JPMorgan Chase, Charles Schwab, Bank of America, and Morgan Stanley, are set to launch crypto products for their clients. It also adds to the growing list of collaborations between Wall Street and crypto firms in the past months.

Charles Schwab CEO Rick Wurster said the company would begin offering crypto trading and custody last week and aims to compete with Coinbase for a share of the crypto spot market.

Coinbase also launched perpetual futures for US clients on Monday, enabling them to trade two perpetual futures contracts: the nano Bitcoin Perpetual Futures and the nano Ethereum Perpetual Futures. This comes after it rebranded its Coinbase Wallet to the 'Base app,' transforming it into what it calls a "crypto everything" platform for users.

Despite the development, Coinbase shares saw a 1.6% decline on Wednesday.