BankProv Crypto Business Solutions Review: Banking for Crypto-Fiat Hybrid Businesses
Rating as of based on a review of services September 13, 2022.
BankProv offers a solution for tech-savvy businesses that want to offer both traditional banking and cryptocurrency services. From fully insured deposit accounts to API access for account management and speedy transfers, BankProv is a one-stop-shop for integrated banking solutions.
- Crypto-friendly business owners
- Custom API integrations
- Quality customer service
Trying to mix traditional banking services with cryptocurrency solutions can be a mess. There needs to be a bridge connecting the two, whether it’s a gateway solution for payments or a backend exchange that facilitates transactions. Balancing both worlds is tricky for business owners.
This is where BankProv Crypto Business Solutions comes in.
BankProv is an innovative commercial bank that offers banking solutions for crypto-friendly businesses. By partnering with trusted third parties, BankProv offers the ability to process cryptocurrency transactions and even crypto-backed lines of credit.
Formerly known as Provident Bank (it rebranded in 2020), BankProv is one of the oldest banks in the United States. With offices located in Massachusetts and New Hampshire, it currently serves clients in 33 states.
If you’re a business owner conducting crypto transactions, let’s find out whether BankProv’s solutions are right for you.
Note: This review focuses on the crypto business solutions from BankProv, not personal accounts.
Pros & Cons of BankProv Crypto Business Solutions
- 100% insured USD deposits — Deposits are insured in full (even beyond FDIC insurance) in the event of bank failure*
- API banking technology — API access to BankProv tools for real-time reporting and banking
- Specialty lending — Crypto-backed lending against Bitcoin and Ethereum holdings
- Crypto-knowledgeable support team — The team is familiar with the banking needs of crypto businesses and offers support for API access
- 24/7 bank transfers available — Ideal for crypto-centric businesses used to operating in the markets 24/7
- Limited customer support hours — Customer support operates during business hours only, and there's no in-person support outside of Massachusetts and New Hampshire.
BankProv offers bespoke solutions for crypto-based businesses, and costs will vary based on the features used and solutions provided. Prices for loans will vary as well, depending on the collateral used and amount of the loan.
The best way to get exact pricing details is to set up a consultation with the BankProv team and explain your business needs.
BankProv Crypto Business Solutions include a suite of banking services for clients specializing in crypto-focused businesses.
Here are a few of the services available to BankProv Business Solutions clients:
Fully Insured Deposits
BankProv offers both FDIC insurance and DIF insurance for “unlimited insurance” on U.S. dollar deposits. FDIC insurance offers up to $250k in coverage per depositor, while the remainder of deposited funds are covered by the Depositor Insurance Fund (DIF).
The DIF is a private insurance fund that is designed to cover deposits in excess of the FDIC limit, and is offered on each account for BankProv Business Solutions clients.
API Access to Banking Services
BankProv offers application program interface (API) access to backend tools that allow business owners to have real-time account information and control over their money. API access gives owners 24/7 control of their accounts, with real-time reporting available.
Another advantage of API access is the ability to build your own solutions, giving your customers a seamless user experience, while BankProv does all the heavy lifting in the background.
BankProv has partnered with a number of lenders that offer crypto-backed lines of credit for quick access to cash for businesses.
These collateralized loans allow crypto-heavy businesses to pledge their crypto holdings as collateral and borrow a percentage of the value, similar to a portfolio loan that traditional investment firms offer.
BankProv supports both Bitcoin and Ether as collateral for these credit lines.
24/7 Banking Transfers
BankProv is unique in the banking industry, as it offers 24/7 banking transfers through its ProvXchange™ network.
Users can transfer funds between BankProv accounts, as well as to other BankProv customers, without the need to wait for traditional business banking hours.
This is ideal for crypto-centric businesses that are used to operating in the markets 24/7.
Dedicated Customer Service Team
BankProv offers a dedicated team of crypto business specialists who are available by email and phone during regular business hours (Monday to Friday, 8am–8pm EST; Saturday, 9am–1pm EST).
The team is familiar with the banking needs of crypto businesses and offers support for API access.
There is also a 24/7 self-service automated phone service, and residents of Massachusetts or New Hampshire can visit in-person at any BankProv location.
My Experience Researching BankProv Crypto Business Solutions
BankProv’s crypto business offering seems like a straightforward solution for enterprise clients who want the backing of a traditional bank, with the flexibility of a crypto-friendly business. The ability to manage accounts via traditional U.S. dollars makes it a good one-size-fits-all solution. And the ability to transfer funds 24/7 through ProvXchange™ (just like using crypto) helps streamline the business.
Crypto lending is becoming more and more important for crypto businesses that need access to capital but don’t want to sell off their crypto investments to fund development of their business. The fact that users can pledge either Bitcoin or Ethereum is a great perk.
Having access to a customer service team that knows cryptocurrency business is a plus, though it would be nice to have around-the-clock support as crypto is a 24/7 business. But overall, BankProv seems like a great match-up between traditional finance and crypto-friendly banking.
Who Is BankProv Crypto Business Solutions Best For?
BankProv Crypto Business Solutions is ideal for businesses that handle cryptocurrency and need the ability to move funds around 24/7.
It also is great for businesses that have a lot of cryptocurrency on their balance sheet, but don’t want to sell their crypto assets to fund business development. The crypto-backed loans via BankProv’s partners offer a quick way to access capital without unneeded tax bills.
Who Shouldn’t Use BankProv Crypto Business Solutions?
Businesses that are just looking for traditional business banking solutions will not need access to the crypto-focused features that BankProv Crypto Business Solutions offers.
That being said, BankProv does offer a suite of traditional banking tools for businesses that are not in the crypto space as well.
The Bottom Line
BankProv Crypto Business Solutions is an innovative banking service that offers crypto-focused businesses a simpler way to manage their day-to-day operations, as well as gives them quick access to capital without jumping through too many hoops. With fully insured deposits, API access to BankProv tools, and partners providing crypto-backed loans, BankProv is unique in the banking industry.
Businesses that are crypto-heavy on their balance sheet will benefit from the quick access to USD. The ability to move money around 24/7 keeps business operations running efficiently.
Overall, BankProv is one of the only banks focused on providing services specific to crypto-focused businesses, and is worth a look if you are operating a hybrid business that handles both crypto and fiat currencies.
To learn more about BankProv and how they can tailor their banking services to your business needs, you can set up a free consultation with a crypto business specialist.