Over the past decade, digital assets have come a long way. However, one area that has been severely neglected is inheritance: the few services that are available are costly and often involve ongoing fees for storage. Addressing this, Xapo Bank, the licensed bank that lets members bank with Bitcoin, is launching a beneficiaries solution to allow users to designate multiple beneficiaries for their assets, including Bitcoin.
Cryptocurrencies are growing in the UK, with 13 per cent (seven million) of the adult population now holding on to some form of digital asset. Passing these assets on to their next generation though is proving to be a hurdle. Xapo Bank’s new solution ensures users can do just that, following its expansion into the country and banking licence acquisition in August.
Members can assign all or part of their Bitcoin and fiat assets to beneficiaries in just two steps. Integrated into the Xapo Bank app, this feature enables secure legacy planning in under five minutes, with no ongoing fees. It is currently offering interest rates of 4.1 per cent on USD accounts and one per cent on Bitcoin accounts.
This new service will also be particularly beneficial in addressing the fact that four million Bitcoins are currently estimated to be permanently inaccessible. This makes up more than 20 per cent of the total supply. This loss highlights a gap in effective inheritance solutions for digital assets. In addition to costly fees, many exchanges that offer inheritance services require extensive documentation that can delay access for months.
Seamus Rocca, CEO of Xapo Bank said: “As the UK emerges as a key player in the crypto space, we’re thrilled to bring our Bitcoin beneficiary solution to members here. We know how important it is for people to feel confident that their wealth, including Bitcoin, can be securely passed on to loved ones. With this new feature, our members can rest easy, knowing their financial future is safe.”
Xapo Bank Growth
Founded in 2013 on a belief in Bitcoin’s value and long-term potential, Xapo Bank reached a significant milestone in August by passporting its banking license into the UK, allowing it to offer accounts that combine interest-bearing fiat and Bitcoin balances to UK customers. In November 2024, Xapo Bank is also set to launch an out-of-home advertising campaign at London’s Bank Station, further expanding its UK membership base.
As a member of the Gibraltar Deposit Guarantee Scheme (GDGS), Xapo Bank also ensures protection for USD deposits up to €100,000.
