Crypto Broker AG Zurich announced last week that it has obtained a securities license, issued by the Swiss Financial Market Supervisory Authority (FINMA). This will allow the broker to extend its scope and grow structurally.
A license that opens the doors to new goals
Crypto Broker AG is part of a digital asset conglomerate that includes asset management services and a storage infrastructure. The license obtained allows the broker to broaden the scope of its business and add significant qualification in the fields of compliance, risk monitoring, liquidity reporting and so on, said Rupertus Rothenhaeuser, CEO of the Crypto Broker.
"Some of our client banks have strict orders requiring them to trade only with regulated partners," Rothenhaeuser said in an interview. "Now it's just a matter of calling them to tick a box and they can start trading." While Switzerland is at the forefront of crypto regulations, few brokers are still licensed to extend their business.
The Swiss momentum towards cryptocurrencies
Switzerland is probably the only place in the world where regulations are actually keeping up with crypto infrastructure. That said, for the moment, only a handful of crypto companies have received FINMA's blessing.
The newly obtained securities license invites Crypto Broker AG to join other regulated figures in the crypto sector in Switzerland such as SEBA and Sygnum, and dive into the world of regulated security tokens (an area that has recently benefited from further clarification at the bureaucratic level in Switzerland thanks to the so-called "super DLT law").
In terms of short-term convenience, being a licensed broker allows the company to hold fiat currency funds for clients, which eliminates the hassle of payments and processing, Rothenhaeuser said.
“On the one hand, we are a modern, fast and DLT-based (Distributed Ledger Technology) company. On the other hand, the payment process for cryptocurrency transactions sometimes makes me feel like I'm back in the 80s, ”Rothenhaeuser said.
"Being licensed on the securities allows us to hold funds in the account rather than always having zero balance, so we can do much better directly during processing and maximize our margins."
Asked which industry greats are already on the list to start trading with Crypto Broker AG, Rothenhaeuser politely declined to name names, but said some of these greats Investors soon they will fill the news section of the company. “We have waited a long time for this license. I expect to be on the phone constantly for the next five days, ”he said.
