SEBA cryptocurrency AG, a startup firm based in Switzerland, has reportedly raised $103 million (100 million Swiss francs) for building a cryptocurrency bank that offers all the services related to crypto, according to the reports released on September 26.
The startup SEBA is currency under the administration of Guido Buehler and Andreas Amschwand, former bankers at UBS and the masterminds are planning on building an institutional bank that will be providing services to the cryptocurrency banking services. However, for conducting the services, they will need a banking and securities dealer license, from FINMA, a Swiss financial market regulator. This license enables the rights for the company in conducting services for crypto trading and investments for banks, enterprises and qualified investors.
The reports released by Reuters claims that the aim of SEBA, according to Buehler, is to build a “bridge” between the cryptocurrency industry and existing traditional banking. Along with that, the firm will also target services that are related to not just crypto but also financial consultations when it comes to other digital assets as well as Initial Coin Offerings (ICOs).
It is great to acknowledge the fact that even the evolving industry of cryptocurrency, which has its root in the digital economy, needs a standard institutional firm to manage the gap that currently exists between the traditional banking system and crypto industry. Moreover, the project aims to provide corporate finance services that help in targeting the industrial clients.
According to Amschwand, Switzerland is a place that has commitments from several authorities for establishing a regulatory environment that is comprehensive for the development and growth of blockchain technology. Not only does this project aim at blockchain, but it also strives towards a stable and sustainable growth of crypto assets.
The startup is focusing on plans after the launch where it will expand its roots and take major companies into acquisition to make a platform that is available to provide service on a global base. SEBA expects to accompany its service platform with the major financial hub, Zurich next year.
The Swiss Bankers Association has issued basic regulatory guidelines for the institutional firms and banks working with blockchain startups to avoid a mass cryptocurrency exodus in Switzerland, which can trigger due to the lack of clear regulations. A similar project made headlines in June, where it saw the first bank of Switzerland, Hypothekabank Lenzburg, started to provide blockchain and cryptocurrency related services.