Italy’s biggest bank gets into Bitcoin with a $1M purchase
Key receivers
Intesa Sanpaolo bought $1 million worth of Bitcoin to test the strategy. Institutional crypto adoption is expanding with significant investment from major companies.
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Italy's largest banking group, Intesa Sanpaolo, has bought 11 bitcoins worth approximately 1 million euros ($1 million), Bloomberg reported.
The acquisition was announced in an internal email by Niccolò Barduccia, head of the bank's digital assets business.
Chief executive Carlo Messina described the move as “an experiment, an experiment”, which represents a small part of the bank's 100 billion euro securities portfolio.
The bank's crypto desk previously focused on trading options, futures and ETFs. In November, Bloomberg reported that Intesa had secured internal approvals and established the technical infrastructure for spot crypto trading.
At an event in Milan, Messina said: “We will not be a Bitcoin provider, but if our big customers ask us, we will know how to do it.”
The acquisition comes amid macroeconomic concerns. Inflation weighs heavily on crypto and traditional markets at the beginning of the year.
On Monday, bitcoin fell below $90,000 for the first time since November, briefly down 5%.
A stronger-than-expected US economy and expectations of less easing by the Federal Reserve fueled market uncertainty.
The Bureau of Labor Statistics reported Tuesday that the producer price index (PPI) rose 0.2% in December, slightly below the 0.3% consensus of economists.
Wholesale prices rose 3.3% year-on-year from 3.0% in November. With more inflation data and Donald Trump's presidential inauguration next Monday, markets are on edge.
Despite these headwinds, crypto adoption continues to grow among financial institutions. The BlackRock Spot Bitcoin ETF has accumulated $51 billion in assets, while JPMorgan Chase is promoting its blockchain-based rapid settlement system.
The European Union recently approved its first comprehensive set of crypto regulations, paving the way for broader institutional participation.
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