Bitcoin News Today: Binance partners with BBVA for off-exchange crypto custody to boost security and trust

Binance, the world’s largest cryptocurrency exchange, has entered into a strategic partnership with BBVA, Spain’s second-largest bank, to offer off-exchange crypto custody services as of August 10, 2025. This collaboration enables Binance users to store their digital assets with BBVA instead of directly on the exchange. The service is designed to enhance security, reduce counterparty risk, and build greater trust among traders and investors [1]. Binance will accept U.S. Treasuries held by BBVA as collateral for trading, ensuring customer funds are held separately from the exchange’s operations [2].

The partnership represents a major shift in how Binance manages user assets, reflecting the broader industry’s response to heightened regulatory scrutiny and the fallout from past custodial failures, such as the FTX collapse. Binance CEO Richard Teng emphasized the initiative’s goal of providing a “safer way to store and manage crypto assets,” according to a report by the Financial Times [3]. By leveraging BBVA’s institutional-grade infrastructure and regulatory approvals, the collaboration addresses key concerns around transparency, compliance, and fund separation [4].

BBVA, which obtained the necessary approvals in March 2025 to offer retail crypto services in Spain, has been expanding its digital asset offerings, including Bitcoin and Ether trading through its mobile app [5]. This partnership with Binance further solidifies its position in the growing crypto market. The move also builds on Binance’s previous efforts to increase trust, such as enabling third-party custodians like Sygnum and FlowBank [6]. The new custody model is expected to appeal to institutional and retail investors seeking greater assurance in the security of their digital holdings.

Market reactions to the announcement have been stable, with minimal price disruptions observed for major cryptocurrencies like Bitcoin (BTC) and Ethereum (ETH), indicating broad investor confidence in the move [7]. The partnership aligns with a broader trend of traditional financial institutions adapting to the crypto sector, particularly in light of regulatory enforcement actions against platforms for compliance lapses. Binance itself settled a 2023 case with U.S. regulators over anti-money laundering violations, underscoring the importance of improved asset management practices [8].

By integrating U.S. Treasuries into its custody framework, Binance aims to bridge the gap between traditional finance and digital assets, potentially attracting a wider range of investors who may have been wary of the volatility and risks associated with crypto. The initiative signals a strategic evolution for Binance as it seeks to reinforce its position in a more regulated and competitive market landscape.

Source:

[1] Cointelegraph – [https://cointelegraph.com/news/binance-bbva-crypto-custody-partnership](https://cointelegraph.com/news/binance-bbva-crypto-custody-partnership)

[2] Finextra – [https://www.finextra.com/newsarticle/46423/binance-partners-bbva-to-let-customers-keep-crypto-off-exchange---ft](https://www.finextra.com/newsarticle/46423/binance-partners-bbva-to-let-customers-keep-crypto-off-exchange---ft)

[3] CryptoBriefing – [https://cryptobriefing.com/binance-bbva-custody-partnership/](https://cryptobriefing.com/binance-bbva-custody-partnership/)

[4] CoinDesk – [https://www.coindesk.com/business/2025/08/08/spanish-bank-bbva-said-to-offer-off-exchange-custody-to-binance-customers-ft](https://www.coindesk.com/business/2025/08/08/spanish-bank-bbva-said-to-offer-off-exchange-custody-to-binance-customers-ft)

[5] AInvest – [https://www.ainvest.com/news/binance-partners-bbva-hold-trader-margin-treasuries-enhanced-trust-safety-2508/](https://www.ainvest.com/news/binance-partners-bbva-hold-trader-margin-treasuries-enhanced-trust-safety-2508/)

[6] Binance – [https://www.binance.com/en/square/post/08-08-2025-binance-partners-with-bbva-to-offer-off-exchange-asset-custody-for-users-28034824551818](https://www.binance.com/en/square/post/08-08-2025-binance-partners-with-bbva-to-offer-off-exchange-asset-custody-for-users-28034824551818)

[7] Dexalot – [https://dexalot.com/en/blog/binance-bbva-crypto-custody-innovation](https://dexalot.com/en/blog/binance-bbva-crypto-custody-innovation)

[8] Mitrade – [https://www.mitrade.com/insights/news/live-news/article-3-1023710-20250808](https://www.mitrade.com/insights/news/live-news/article-3-1023710-20250808)