This interest increase on US Dollar deposits doubles the rate the bank previously offered and is significantly higher than the industry average. The raise is part of the bank’s interest rates restructuring, which is based on market conditions and aims to ensure that Xapo Bank members can continue to earn sustainable returns on their deposits.
Before the increase to 4.1%, Xapo Bank was paying a 2% interest rate on USD deposits, an already-competitive rate in today’s market. This latest increase brings Xapo Bank far above the industry average, making the Gibraltar-based financial pioneer’s proposition particularly attractive to consumers. Xapo Bank members also receive protection on fiat deposits up to 100,000.00 US Dollars. This guarantee is provided by the Gibraltar Deposit Guarantee Scheme – a robust level of protection that’s equivalent to that provided by leading banks in Europe and the UK.
Xapo Bank’s 4.1% interest rate on US dollars and 1% interest rate on Bitcoin is available to all new and existing members around the world.
Seamus Rocca, CEO of Xapo Bank, said: “We are committed to helping our members grow and protect their wealth in a responsible manner. Offering a market-leading interest rate is just one of the ways we do this, alongside operating to some of the highest global standards of private banking and security.”
Xapo Bank’s decision to introduce GBP payments comes in reaction to uncertainty and turbulent markets.
Seamus Rocca continued: “The ongoing issues related to bank closures in the US and the increased regulatory pressures around crypto could certainly push players to look for alternative jurisdictions and maybe even alternative currencies in which to operate.
“Xapo Bank took a business decision in 2019 to sell our Institutional Custody business and focus on retail, so we are not a B2B bank in the same way that Silvergate or Signature are. Consumers are expressing the need for trusted institutions in the space that offer diverse routes to transfer and receive their funds in a crypto-native way. In addition to its existing Bitcoin offering and its integration into the Faster Payment System, as of this week, Xapo Bank is also activating USDC payments, enabling members to send and receive USDC to their Xapo Bank account, promptly and without any transfer fees.”
These updates follow Xapo Bank’s recent announcement that it has become the only fully licensed private bank in the world to partner with Lightspark and integrate with the Lightning Network to enable lightning-fast Bitcoin payments for its customers. The partnership enables Xapo Bank members to pay for small purchases of up to $100 instantly to any vendor who accepts Lightning payments without suffering high transaction fees and long blockchain confirmation waiting times.
To explore the range of accessible and safe private banking benefits that Xapo Bank offers and to apply for membership, visit: https://www.xapo.com/membership