Cryptocurrencies are expected to operate pretty much anywhere in the world. So why can’t they operate in the “Bank of the World?”. The EU is known to have insufficient regulations for crypto exchanges and companies, however, they may soon switch to the Gibraltar model, which enables companies to operate with minimum resistance from the authorities.
The reason we mentioned Switzerland is that there is a new startup, called SEBA Crypto AG. Now, this startup has quite an ambitious project that it wants to conduct. The CEO of SEBA Crypto AG, Guido Bühler actually announced their future plans to a Swiss news outlet Cash, that several German investors have become interested in their Crypto Bank, yes you read it right, a Crypto Bank.
Raised Funds and Big Plans
Now according to our findings on InsideTrade, the Banks has been operating for quite some time now. The initial $103 million in raised funds helped them actually construct it in September. The moment the funds were raised, the bank couldn’t hold in its excitement and Bühler came out with a statement saying that a new connector of the financial world and cryptosphere had been created.
Now what’s so different about SEBA, why is it so popular all of a sudden? Isn’t a crypto bank just a space to store your cryptos? Well, yes technically it is and we’ve seen something similar already, but what’s different is that SEBA is actually expecting a formal license from Switzerland’s financial regulator FINMA. Yes, SEBA will be an official bank in the country, opening up opportunities for cryptos that were exclusive to traditional banks. The license is expected to be granted in June 2019, which means that there are still a number of things that could go wrong. However, should the firm receive the license, they will be able to conduct crypto traders with high-end investors and banks.
The funds already gathered are not looking to be enough as the bank is also planning an ICO in the near future. The additional funds required for expansion in the financial hubs of the world mount up to $206 million. At a glance, this may seem quite a lot, but in all honesty, it’s a realistic goal. After the goal is reached, the expansion will start locally in Zurich.
Compared to other European countries, Switzerland is like a godsend in terms of regulations for the cryptocurrency. Switzerland is aiming to be one of the primary destinations for cryptocurrencies as its neighbors gear up for stricter regulations. This may be familiar to you because of Gibraltar. The difference between Gibraltar and Switzerland is that Gibraltar started to accommodate cryptos with their borders way before the craze happened, so they came prepared. Switzerland, on the other hand, has just been quite acceptive when it saw the potential.
Even though there is nothing but good things happening for cryptos in Switzerland, it doesn’t mean that the financial watchdog FINMA will just stand idly by. It has already recognized the dangers that are connected to cryptocurrencies, promising to further look into it.