By Siyanda Mthethwa
JOHANNESBURG (Reuters) -Discovery Bank is set to become the first lender in South Africa to integrate crypto into its mobile platform, allowing customers to trade cryptocurrencies directly in its banking app from December.
The feature is being launched in partnership with London-based crypto exchange firm Luno and will allow clients to link their existing accounts to the Discovery digital banking app and buy, hold and sell crypto assets like bitcoin and ethereum.
“The financial world is evolving fast, and crypto assets have matured to become an accessible, mainstream asset class,” Discovery Bank CEO Hylton Kallner said in a statement.
ONE-IN-TEN HOLDING CRYPTO ASSETS
“Our clients – and South Africans more generally – are already engaged in this market, with 1 in 10 people holding crypto assets, and our regulation leading in the region and aligning with global norms.”
The digital bank, launched in 2021, delivered its first profit during the second half of its financial year, ended June 30.
Its competitors include the likes of Absa Bank, FirstRand’s First National Bank, Standard Bank, Capitec Bank and Old Mutual Bank.
South Africa’s Financial Sector Conduct Authority, which began licensing crypto service providers in 2023, warned consumers about the risks of volatile prices.
Discovery said its partnership complies with local regulations and includes robust safeguards.
(Reporting by Siyanda Mthethwa; Additional reporting by Sfundo Parakozov; Editing by Conor Humphries)
