Italy’s largest bank makes its first spot Bitcoin purchase.
Intesa Sanpaolo SpA, Italy’s largest banking group, has made its first spot Bitcoin purchase, acquiring about 1 million euros ($1 million) worth of Bitcoin. The bank bought 11 Bitcoin, as confirmed by Niccolò Bardoscia, the head of digital asset trading. CEO Carlo Messina described this purchase as an “experiment” and noted it is a small part of the bank’s larger 100 billion-euro securities portfolio.
Previously, Intesa focused on trading options, futures, and ETFs related to cryptocurrencies. In November, the bank received internal approvals and set up the necessary infrastructure for spot crypto trading. Messina stated that while they do not plan to become a Bitcoin provider, they want to be prepared if larger clients request such services.
This purchase occurs amid economic concerns, with inflation affecting both crypto and traditional markets. Bitcoin recently dropped below $90,000 for the first time since November but recovered to $96,500. The US economy’s strength and the Federal Reserve’s stance have contributed to market uncertainty.
Despite these challenges, interest in cryptocurrencies is growing among financial institutions. BlackRock’s spot Bitcoin ETF has reached $51 billion in assets, and JPMorgan Chase is developing a blockchain-based instant settlement system.
However, JPMorgan’s CEO, Jamie Dimon, remains skeptical about Bitcoin. He compared it to an unhealthy habit and criticized it for lacking intrinsic value and being linked to illegal activities. While he acknowledges the potential of digital currencies, he specifically opposes Bitcoin.
Recently, MicroStrategy has submitted an 8-K form to the SEC, disclosing its recent Bitcoin investment. The company paid an average of $95,972 for each Bitcoin. Currently, Bitcoin’s market value is $95,995, which means MicroStrategy is facing a loss of approximately 4.4% on this investment.
