After the Liechtenstein-based Bank Frick and Zurich-based investment bank, Vontobel became the custodians of digital currencies, it is now the turn of Swiss private banking boutique Falcon Private Bank.
As per news reports, the embattled Falcon Private Bank is dipping its toes into the world of cryptocurrency in an effort to take the leading position in integrating cryptos in the finance industry.
The Zurich-based wealth management bank will facilitate the transfer of digital currencies between Falcon wallets by its private and institutional clients. Falcon Private Bank will also enable clients to convert their crypto assets into fiat seamlessly. Not only that, the wealth manager is set to offer secure storage services for cryptos through a proprietary custody solution.
The move is seen as an effort towards making crypto assets bankable. Falcon Private Bank has leveraged the opportunity to become one of the frontrunners in the cryptocurrency space.
Interestingly, even though various banks such as Vontobel, Hypothekarbank Lenzburg, and Frick, have all started offering some services for digital currencies, however, the Falcon Private Bank is the earliest adopter in Switzerland.
In the year 2017, Falcon had adopted a wealth strategy that was focused on the crypto market. It had even incorporated a Bitcoin ATM in its business plan that year. However, Falcon did face a lot of hurdles in this evolution when it witnessed an exodus of its top senior executives.
Subsequently, Falcon, which is owned by Abu Dhabi’s sovereign wealth fund, decided to restore its position as market leader by taking in executives from the United Arab Emirates.
As per news, the move towards cryptocurrencies services by the Falcon Bank is seen as a show of assertiveness against its competition, the Swiss Bank of Vontobel. In December 2018, the CEO of Falcon Private Bank had said that their strategic investments are backed by the Middle East owner of the bank.
Falcon will now be offering cryptocurrency services for Bitcoin Cash, Ether, Litecoin and Bitcoin. As reported by the bank, the expansion to crypto-related services will follow Know Your Client and Anti Money Laundering rules.
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