Spanish bank BBVA has announced that it has received approval from the country's securities regulator, the Comisión Nacional del Mercado de Valores (CNMV), to offer Bitcoin and Ether trading services in Spain.

This development enables (BBVA) clients to securely buy, sell, and manage these cryptocurrencies directly through the bank's mobile application.

According to BBVA's official statement, the bank is set to launch a service that will allow its customers to handle Bitcoin and Ether transactions securely via its app. Initially, the service will be rolled out to a small group of users and gradually extended to all private customers in Spain over the coming months

Gonzalo Rodríguez, Head of Retail Banking in Spain, commented, "We want to make it easier for our customers to invest in cryptoassets with a simple, accessible offering available directly from their mobile phones, in a fully digital manner. Our goal is to guide them as they explore this new segment of digital assets, backed by the solvency and security assurances provided by a bank like BBVA."

BBVA has been researching the transformative potential of blockchain technology in financial services for over a decade. In response to growing investor interest, the bank has established cryptoasset services in markets with regulatory frameworks designed to ensure investor protection.

ِAlso, BBVA Switzerland launched the Bitcoin custody and trading service to all its private banking clients in June 2021. Since then, BBVA has broadened its offerings to include new cryptoassets like Ether and the (USDC) stablecoin, aiming to attract additional institutional clients.

With Spain now entering the fold, BBVA is broadening its crypto services in line with evolving European regulations. The bank's expansion comes as the Markets in Crypto-Assets Regulation (MiCA) reached full implementation at the end of 2024. While the framework is now in effect, crypto companies in the EU have until July 2026 to fully comply with its requirements under an 18-month transitional phase. ​

Spain's Recent Journey with Cryptocurrency

Spain has taken significant steps in recent years to regulate and integrate cryptocurrencies into its financial system. The Spanish government has been cautious and conservative in its approach to cryptocurrencies, influenced by a commitment to safeguarding investor and consumer rights. The backdrop of financial, securities, and crypto-asset fraud cases during the recession has shaped this conservative approach.

In April 2021, the Spanish government enacted Royal Decree-Law 7/2021, which amended the existing Law 10/2010 on the prevention of money laundering and terrorist financing. This legislation formally defined virtual assets and included new regulated entities, such as providers of services regarding the exchange between virtual and fiat currency, and the custody of virtual wallets. Consequently, all Virtual Currency Service Providers are obligated to register with the Bank of Spain's dedicated registry for these entities. ​

In January 2023, Spanish fintech company Monei was green-lighted by the Bank of Spain to carry out its digital euro project, which was showcased in the Spanish financial sandbox. Under the name EURM, this stablecoin will be the first digital euro in Europe. EURM facilitates online payments and the transmission of euros between individuals through the creation of a token using the new Ethereum 2.0 blockchain technology. This shows that the Bank of Spain’s intention is not to fight blockchain technology but, rather, to embrace it and focus increasingly on it.

The implementation of the Markets in Crypto-Assets Regulation (MiCA) at the end of 2024 marked a significant milestone for Spain and the broader European Union. MiCA provides a comprehensive regulatory framework for crypto-assets, aiming to protect investors and ensure financial stability while fostering innovation and fair competition. Spain's proactive approach in aligning with MiCA has paved the way for traditional financial institutions, like BBVA, to offer cryptocurrency services, signaling a new era in the country's financial landscape.

More on The Byteline: FINRA fines Robinhood $26M for AML, supervision violations