Unlike larger banks who are criticizing crypto, some smaller institutions in Switzerland, Germany and Liechtenstein are bucking the trend. They are are instead offering their clients opportunities to be a part of the digital currency revolution.
Big banks are losing out
Whether it be as a method to control the financial freedom that cryptocurrencies offer, or as a genuine way to introduce virtual currencies to the masses, regulation is on the increase.
While some major banks are declining crypto-related transactions, smaller institutions are of the opposite view. According to the Financial Times, Swiss private banks Vontobel and Falcon Bank, as well as Fidor Bank in Germany and Bank Frick in Liechtenstein, have rather embraced the industry by offering a range of crypto services.
Edi Wögerer, who is the chief executive of Bank Frick, had this to say:
“There are risks involved but there are also really big opportunities. We know what to do from a security perspective so this is a big opportunity for banks like us.”
Wögerer added to the common chorus that bigger institutions see virtual currencies as a danger to their well-established status quo. He said that larger banks were “scared” of crypto and that “because they don’t understand them, they feel threatened”.
The popularity of virtual currencies is undeniable, which means that even if these bigger institutions aren’t interested, others most definitely are. President of the Crypto Valley Association in Switzerland, Oliver Bussmann, has said that “more and more bankers are coming in,” hoping to capitalize on the lucrative gap left by their larger counterparts.
ICOs are also feeling the love
Bank Frick offers advisory support for startups conducting ICOs, and they even screen investors. Payment for their services is in the form of cryptocurrencies.
With ICOs having the cloud of possible fraud hanging over them, Wögerer has said that these services are in “huge demand”, but the firm is “very selective”, having worked with 10 ICOs so far.
In their bid to embrace crypto, the bank also