Longtime to make, Zurich-based crypto broker AG announced on Monday that it had secured a securities house license by the Swiss Financial Market Supervisory Authority (FINMA).
Crypto Broker AG is part of a digital asset organization that includes asset management and custody services. Rupertas Rothenheuser, chief executive of CryptoBroker, says the license means expanding its business and adding rubber stamps when it comes to compliance, risk monitoring, liquidity reporting, and so on.
“Some of our client banks have strict orders to trade only with regulated partners,” Rottenhauser said in an interview. “Now it’s just a matter of calling them to save a box and they can start a business.”
Switzerland is probably the only place on the planet where the rules actually maintain the crypto infrastructure. That said, only a handful of crypto firms have been blessed with FINMA.
The security license invites crypto broker AG to join other regulated Swiss crypto players such as SEBA and Signum and dive into the world of regulated security tokens (an area that has received more so-called “thanks to the Super DLT Act” in Switzerland).
In terms of immediate practicality, being a licensed broker allows the firm to keep funds in fiat currency for clients, which eliminates the hassle of paying and processing, Rothenhauser said.
“On the one hand we are a very modern, fast, DLT-based business. On the other hand, the cycle of paying for cryptocurrency transactions sometimes reminds us of going back to the 1980s, “said Rothenhauser.” Being a security licensee always enables us to keep funds in the account rather than zero, so we can do better through processing. And we can maximize our margins. “
Asked which big players are waiting to start trading with crypto broker AG, Rothenhauser politely declined to be named, but said some big players would appear in the news cycle soon.
“We have been waiting a long time for this license. I hope to be on the phone for the next five days, ”he said.