Conventional Liechtenstein Bank Launches Cryptocurrency Investment Platform
Citizens of Liechtenstein, a country that has become rather famous for its cryptocurrency acceptance, will soon have the ability to purchase digital currencies directly from a bank. Considering that the royal family's demonstrated interest in the asset class and the overall willingness to embrace cryptocurrency development, the move is perhaps not too surprising.
The initial set of electronic currencies available for purchase will include Bitcoin, Ethereum, Litecoin, Ripple and Bitcoin Cash.
The target market of the bank probably consists of high net worth individuals and institutional investors, or rather, the type of people that already have a sizeable quantity of funds in various banking instruments.
For any exchange or agentthose, safety is an important consideration. As is conventional for any cryptocurrency market, Bank Frick has said it will store all its customers' cryptocurrency assets in chilly pockets, or rather, on computers air-gapped in the internet for the most part. Other security features, however, weren't detailed in the press release.
The financial institution in question is already a fully-regulated bank that complies with all know-your-customer related laws at the nation and EU level. Thus, it's safe to conclude that the exact same identification requirements will be carried over for any investor looking to buy any amount of cryptocurrency from Bank Frick.
The bank confirms regulatory compliance in its statement,
«At Bank Frick, cryptocurrency investments are subject to the same strict statutory measures as traditional financial transactions,» and «Clients may only invest in cryptocurrencies once they've been fully identified and confirmed. The verification and identification process also involves checking the origin of the money used to invest in them.»
Despite the fact that Bank Frick is a financial institution that primarily caters to Liechtenstein citizens, it's declared that the platform will be available to any European entity considering it. The Chief Client Officer, Huber Büchel, said,
«Our services are in demand from businesses across all of Europe. This is because they understand that we can provide them reliable support in executing their business models with cryptocurrencies and blockchains in line with the existing regulatory framework.»
Furthermore, the bank has announced it'll be accepting foreign currencies in exchange for cryptocurrency assets. At the moment, investors can transact in US Dollars, Euros or Swiss Francs.
Bank Frick joins a exclusive collection of banks willing to not only adopt but also facilitate the buying and selling of cryptocurrencies. With most financial institutions around the world are heading in the exact opposite direction, it is apparent that Liechtenstein's banks have other goals.