**ByBit Expands its Horizons: From Cryptocurrency Exchange to Full-Fledged Bank**

ByBit, one of the largest cryptocurrency exchanges globally, is taking a massive leap forward by venturing into traditional banking services. In an exclusive interview with Bloomberg News on January 29th, CEO Ben Zhou revealed that the company plans to introduce "MyBank" accounts, which will enable users to hold balances in U.S. dollars and other fiat currencies.

The new banking service is designed to provide customers with a more seamless experience, allowing them to transfer funds across 18 different currencies using an International Bank Account Number (IBAN). ByBit aims to roll out this feature as early as next month, pending regulatory approvals. This move has sparked speculation that ByBit might be entering the "neobank" space, alongside companies like Revolut and Robinhood.

Interestingly, these neobanks initially started with banking services before expanding into cryptocurrency offerings. In contrast, ByBit is following a reverse approach – starting as a cryptocurrency exchange and now branching out into traditional banking. As Zhou explained to Bloomberg, "The moment that your pound or US dollar arrives, you can choose to transfer it to crypto." He believes this innovation will have a significant impact on the industry.

ByBit's ambitions are backed by its substantial user base of over 81 million customers and its presence in more than 200 markets. The company boasts partnerships with nearly 2,000 banks worldwide, giving it a significant edge in terms of global reach. Additionally, ByBit is set to introduce a custody product for institutional investors, which will enable them to tokenize real-world assets.

Despite the promising developments, ByBit has no plans to enter the prediction market space. According to Zhou, this decision was driven by compliance challenges that have deterred centralized exchanges from venturing into this area.

The company's foray into banking comes at a time when digital assets are increasingly being integrated into traditional financial systems. This trend is reflected in a recent PYMNTS report, which highlighted the "structural adoption, regulatory articulation and financial integration" of cryptocurrencies. ByBit's move into banking represents a significant step towards mainstream acceptance.

It's worth noting that ByBit has faced its share of challenges in the past. Last year, the company suffered a historic hack, resulting in the theft of $1.5 billion in assets. However, ByBit managed to recover from this setback by borrowing funds from other platforms and dipping into its treasury.

As the industry continues to evolve, it will be fascinating to see how ByBit navigates the challenges and opportunities that come with expanding into traditional banking services. With its impressive user base and global reach, the company is poised to make a significant impact on the financial landscape.