Switzerland is a major financial center and the land of private banks, the choice destination where old money is being kept under lock and key in secret vaults or secret bank accounts. In this age of cryptocurrencies, the Swiss proved to be just as adept as there are now two Swiss banks that offer financial services to blockchain and crypto firms.
Maerki Baumann Welcomes Money From Cryptos
Maerki Baumann, a private bank based in Zurich, is now opening its door to crypto and blockchain firms, according to a report by International Investment. As per the report, the bank does not actually provide crypto investment services but will accept money generated from businesses involving cryptocurrencies. Furthermore, the bank will provide crypto experts to clients who need them.
However, in a statement, the private bank admitted that it is inexperienced when it comes to dealing with crypto. The statement reads:
“Maerki Baumann closely monitors the development of these investment vehicles and the underlying regulation without our commitment to engage in this area. This concerns investments in cryptocurrencies as well as the technologies required to trade and store these instruments. We currently see cryptocurrencies as alternative investment vehicles, but we have limited experience and data (prices, volatility, trading volumes) available in our house, ”
Bucking the Trend
Maerki Baumann’s decision to accept money from crypto firms and crypto holders might fill in a gap in the Swiss’ financial system. While cryptocurrencies are becoming increasingly popular with the investing public, most of the nation’s banks do not want to touch money generated by anything crypto related.
The rationale given for their refusal is that money generated from crypto-related businesses is hard to verify. As a result, it will be hard for financial institutions to comply with existing money laundering regulation requirements.
Previously, crypto-holding Swiss citizens were forced to do their banking elsewhere, such as in the Bank Frick Liechtenstein, which accepts crypto-related funds and even crypto investment support. With Maerki Baumann’s decision to open its door to crypto-related funds, Swiss crypto investors can now do their banking closer to home.
Maerki Baumann is not actually the first Swiss bank to offer services to crypto firms and investors. In July, Bloomberg reported that Zurich-based Falcon Private Bank will accept money from crypto firms. However, the bank announced that it will be screening potential clients for traces of money laundering activities.