Indian bank United Multistate Credit Co. Operative Society plans to expand its banking services to cryptocurrencies and cryptocurrency products.
In cooperation with the crypto banking service provider Cashaa United has formed a joint venture called UNICAS to provide online crypto banking and walk-in services in its 34 physical offices in northern India.
This move by United and Cashaa is taking place amid insecure crypto rules in India. While The Supreme Court of India lifted the crypto banking ban introduced in March by the Reserve Bank of India. Most banks are still skeptical about offering digital currency services to crypto companies and people who trade them.
With UNICAS, United account holders can integrate cryptocurrency portfolios directly into their accounts. Customers can also buy Bitcoin (BTC), Ether (ETH), Ripple (XRP) and Cashaa (CAS) directly in cash or directly from their account. When UNICAS is launched, United will also allow its customers to take out loans against cryptocurrencies.
Cryptocurrencies have seen significant adoption in India since the lockdown began in March. Many Indian crypto exchanges reported an increase in their cryptocurrency trading volume from 200% to 400%.
Kumar Gaurav, CEO of Cashaa, said the increased interest in cryptocurrencies was one of the main reasons for integrating cryptocurrencies into the existing banking system. He said that UNICAS will help disseminate reliable information about cryptocurrencies to the mainstream Indian population and promote the adoption of crypto in India. He also said that adding cryptocurrency services to a traditional bank will help India adopt a more digitized payment system.