Swiss Startup Secures $100m Investment to Launch a Cryptocurrency Bank
A Switzerland-based cryptocurrency startup, SEBA Crypto AG has successfully secured $100 million as investment from some local and foreign retail and institutional investors. This investment will be used to fund its proposed fully regulated cryptocurrency bank.
SEBA’s Grand Vision
According to a release issued on the company’s official website, SEBA is aiming to obtain a securities dealer and banking license from the Swiss Financial Market Supervisory Authority (FINMA) to establish a fully licensed banking solution.
Speaking on the recent development, Andreas Amschwand the Chairman of SEBA had this to say:
In Switzerland, we have commitment from various authorities to establish a comprehensive regulatory environment for the development of blockchain technology and the sustainable, stable growth of crypto assets. This makes Switzerland the ideal place to launch a new financial services paradigm.
SEBA’s vision is borne out of the company’s understanding of the current gap and parallel existence of traditional financial establishments and the crypto market. On the one hand, mainstream financial establishments and investors steer clear of cryptocurrencies because they are viewed as risky and unregulated. Conversely, crypto market participants find it difficult to move crypto assets into the traditional banking ecosystem.
Among its investors are Summer Capital and BlackRiver Asset Management AG. Speaking on the decision to invest in SEBA, Guy Schwarzenbach the CEO of BlackRiver said that the company made this investment after an in-depth analysis of the crypto market. He went on further to say that if the adoption and utilization of cryptocurrency continue its current trend, cryptocurrencies will become a legitimate asset class that investors will be eager to include in their portfolios.
Bridging the Gap Between Cryptocurrency and Mainstream Finance
On both sides of the divide, participants have made strides to bridge the gap between traditional financial markets and the cryptocurrency market.
As previously reported by EWN, Bank of America has filed a patent related to cryptocurrency custodian control. BoA is proposing a computing system that will act as digital vault storage for the crypto assets of large-scale enterprises.
In the crypto market, SEBA Crypto AG is not the only crypto company proposing a crypto banking solution. Circle, a Goldman Sach’s funded startup is attempting to procure a banking license in the United States. Circle has also released its own stablecoin -USDC backed by the US Dollar. The Circle USDC will operate according to the regulatory framework of the US money transfer laws.