Citi Taps Coinbase in Latest Banking-Crypto Tie-Up
A report from the Wall Street Journal suggests that Citi (C) has partnered with Coinbase (COIN). While details of the partnership are scarce, industry experts point out that tie-ups between major banks and crypto exchanges often revolve around custody, fiat on-ramps, stablecoin settlement, or tokenized deposit rails. Historically, these agreements have been fee-accretive but modest for banks, while carrying a larger revenue implication for crypto companies.
The direction of the service matters in these partnerships, with banks more often renting out crypto distribution than ceding client flow to it. The report notes that company confirmation is lacking, and similar stories in the past have been followed by either a formal announcement or a quiet walk-back.