France’s BPCE Group to Enable Crypto Purchases for 35 Million Clients by 2025

• Hexarq obtains AMF’s PSAN registration, enabling BPCE Group to offer crypto buying, selling, and custody services.
• BPCE to integrate crypto services into Banque Populaire and Caisse d’Épargne networks, enhancing client loyalty and attracting new users.
• Global banks like Hong Kong’s Za Bank and Germany’s Commerzbank also embrace crypto services, signaling growing sector adoption.

France’s fifth-largest bank, BPCE Group, is set to introduce crypto services for its 35 million customers starting in 2025. This will be facilitated by its crypto-focused subsidiary, Hexarq. Notably, Hexarq recently secured the necessary regulatory approval from France’s Financial Markets Authority (AMF), positioning it to offer digital asset services. This follows BPCE’s decision to expand its digital offerings after years of maintaining a low profile in the crypto market sector.

Hexarq Secures Regulatory Approval for Crypto Services

Hexarq, established in 2021, recently obtained the PSAN registration from the AMF. This authorization enables it to provide custody, buying, selling, and exchange services for cryptocurrencies. With this approval, Hexarq becomes the second bank in France, after SG Forge, and the fourth entity overall to achieve this milestone.

The regulatory clearance allows Hexarq to integrate its services into BPCE Group’s Banque Populaire and Caisse d’Épargne networks. These integrations aim to enhance customer loyalty by retaining clients transitioning to exchange platforms while attracting new ones. Preparations for this initiative are already underway, as Hexarq readies its infrastructure to enable investments in crypto assets for BPCE’s clients.

Deployment Plans Across Key Networks

BPCE Group’s implementation strategy focuses on leveraging its expansive customer base across Banque Populaire and Caisse d’Épargne. Hexarq plans to launch an application specifically tailored for these networks, enabling users to access the crypto services seamlessly. According to a source, the initiative aims to solidify BPCE’s position in the digital asset space while addressing evolving customer demands.

Interestingly, Natixis, BPCE’s investment banking division, remains excluded from this initiative. Instead, Natixis continues its focus on financial asset tokenization and blockchain-based market infrastructure. In November, Natixis participated in issuing a €100 million bond through blockchain, underscoring its strategic priorities.

Rising Interest Among Global Banks

BPCE Group’s crypto initiative aligns with a growing trend among global banks adopting digital asset services. For instance, Hong Kong’s Za Bank recently introduced crypto trading on its mobile app, allowing customers to trade Bitcoin and Ethereum. Similarly, Germany’s Commerzbank launched crypto trading and custody services in September, initially targeting 26,000 corporate clients.