Switzerland’s Falcon Private Bank has partnered with a local Bitcoin exchange giving the financial institution the opportunity to offer Bitcoins, as well as altcoins, to its customers through asset portfolios.
On Wednesday, Falcon Private Bank took major steps in a number of avenues within digital currency when it announced that it would be storing and trading Bitcoin within its asset infrastructure. Wealthy customers of the bank will now be able to branch out into digital currencies, allowing them to hold, buy and sell Bitcoin directly through the bank.
It is a move that many have expected to see for some time as slow moving financial institutions like banks and asset management finally come around to the idea of digital currency and the markets that they are building.
A PIONEERING NATION
Switzerland has pioneered the way for digital currencies of late with its light touch in terms of regulations. Bitcoin-based businesses have been categorized under the same lenient laws that also control financial technologies, separate from the usual banking licensing and red tape.
Falcon bank received the green light from the regulators in the country, setting a new precedent for private banks. It is an important and ground breaking move as the hopes are that it will be successful enough to prompt other institutions across the globe to follow suit. The crypto asset-management market is a huge, untapped entity that could provide banks with a fresh and technologically advanced market.
MOVING WITH THE TIMES
The partnership between Falcon and Bitcoin Suisse, the local digital currency exchange, is seen as a positive step for the bank’s customers as well as the institution itself as it works to resurrect its stuffy and traditional brand.
Arthur Vayloyan, Falcon’s global head of products and services, said in a statement:
We are proud to be the first-mover in the Swiss private banking area to provide blockchain asset management for our clients. Falcon is convinced that the time is right to enter this nascent market and it is our firm belief that this new product will fulfill our clients’ future needs.
Although Bitcoin and other digital currencies have seen a sharp downward turn since the highs of the $3000 Bitcoin, there is a belief held by these institutions and agencies that are entering the digital currency market that the rise will continue in the near future.
Would you be willing to make your trades with Bitcoin through a bank? Is it possible to have a bank involved in Bitcoin, or does that defeat the object? Let us know in the comments below.
Credit: Darryn Pollock
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