Rivals Signature Bank and Prime Trust Team to supply Instant Payments for Institutions

by Admin
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Rivals Signature Bank and Prime Trust Team to supply Instant Payments for Institutions

Signature announced Monday it might be linking its Signet payments platform to Prime Trust's multi-asset settlement platform, creating a replacement service offering "real-time" settlements for digital asset trades.

"Any Signature Bank commercial client participating on the Signet platform has the power to form instantaneous payments in U.S. dollars, any time without transaction fees," said Joseph DePaolo, Signature Bank president and CEO during a handout . “The relationship we've forged with Prime Trust will allow their clients to right away settle their transactions through the revolutionary Signet platform."

The service will allow institutional clients from both companies to form payments on to each other at any time, without third parties or transaction fees.

The Signet system launched in December 2018 after winning approval from the ny State Department of monetary Services (NYDFS). It opened to Signature's commercial clients, who need a minimum account balance of $250,000, on Jan. 1, 2019. By February, the bank already claimed to possess on-boarded quite 100 clients who were sending one another many dollars in crypto transactions daily.

State-licensed trust corporation Prime Trust launched its settlement network back in July as an alternate to Signature. Having generally attracted an exchange clientele, including Bittrex and Huobi, it's the sole publicly known financial services provider for Binance.US, Binance's American partner company.

The list of banks willing to figure with cryptocurrency companies remains short over compliance and risk concerns. Hence, market share is usually concentrated during a few specialized providers at which competition is heating up.

The cryptocurrency exchange CEX.io, which uses Signature Bank, moved a number of its retail and smaller payment operations to rival banking provider Silvergate back in November. Prime Trust dropped custodial fees to zero last January, undercutting most of its rivals that charge between four and 10 basis points per month.