Gibraltar's Xapo Bank Enables GBP Payments, Prepares USDC Option Amid U.S. Crypto Banking Crisis

The retail-focused bank will be allowing users to make GBP payments directly to and from their U.K. accounts or wallets.

AccessTimeIconMar 14, 2023 at 4:46 p.m. UTC
Updated May 9, 2023 at 4:10 a.m. UTC

Gibraltar-based, crypto-friendly Xapo Bank enabled British pound (GBP) payments today and will enable USDC stablecoin services later this week, after a banking crisis shook the U.S. crypto sector.

"From today we have also added support for GBP through the Faster Payments network, meaning members will be able to make payments directly to U.K. wallets or banks," said Seamus Rocca, CEO of the retail-focused bank, in a statement to CoinDesk on Tuesday. Xapo also will activate USDC payments this week, enabling its users to send and receive the stablecoin directly to their Xapo bank accounts without any fees, Rocca said.

  • Meme Coin Liquidity Hits Record High
    Meme Coin Liquidity Hits Record High
  • How Ledger Stax Plans to Make Self-Custody More Mainstream
    How Ledger Stax Plans to Make Self-Custody More Mainstream
  • Why Dogecoin Is a 'Weird' Investment
    Why Dogecoin Is a 'Weird' Investment
  • AI Tokens Surge as Nvidia Becomes World’s Most Valuable Company
    AI Tokens Surge as Nvidia Becomes World’s Most Valuable Company
  • Binance, the world's largest crypto exchange by volume, said Monday it would be suspending its GBP deposit and withdrawal services for all users in May.

    Amid the collapse of three of crypto's preferred banks in the U.S. within the last week, companies are scrambling for alternatives. Many of them are looking to offshore crypto-friendly banks like Xapo. "Xapo Bank took a business decision in 2019 to sell our Institutional Custody business and focus on retail, so we are not a B2B bank in the same way that Silvergate or Signature are," Rocca said.

    Xapo, a licensed private bank and cryptocurrency custodian, has already integrated Bitcoin's Lightning Network. The Faster Payments system is run by Pay.UK, which is the "recognized operator and standards body for the UK’s retail interbank payment systems," according to its website.

    CORRECTION (March 14, 2023 16:55 UTC): CoinDesk received the Xapo CEO's statement on Tuesday.

    CORRECTION (March 14, 2023 17:25 UTC): Clarifies that USDC payments will be activated later this week.


    Please note that our privacy policy, terms of use, cookies, and do not sell my personal information has been updated.

    CoinDesk is an award-winning media outlet that covers the cryptocurrency industry. Its journalists abide by a strict set of editorial policies. In November 2023, CoinDesk was acquired by the Bullish group, owner of Bullish, a regulated, digital assets exchange. The Bullish group is majority-owned by; both companies have interests in a variety of blockchain and digital asset businesses and significant holdings of digital assets, including bitcoin. CoinDesk operates as an independent subsidiary with an editorial committee to protect journalistic independence. CoinDesk employees, including journalists, may receive options in the Bullish group as part of their compensation.

    Eliza Gkritsi

    Eliza Gkritsi is a CoinDesk contributor focused on the intersection of crypto and AI.