Zug-headquartered fintech startup Crypto Finance AG today announced that it has finally received a license from the Swiss regulator FINMA, which makes the firm a legal distributor of collective investment schemes.
“For us, getting the FINMA license is a big step in the right direction, to establish us as the first point of contact for crypto assets,” Jan Brzezek, CEO and founder of Crypto Fund AG, commented.
Brzezek, a former UBS banker, started Crypto Finance AG in June 2017.
Earlier in January, the firm launched a cryptocurrency fund amid the massive boom of the digital coins. Without any Swiss license, it was launched in the overseas market, but now the firm can target the fund to the Swiss investors as well. However, only institutional investors like banks, asset managers, and family offices can invest in Crypto Finance AG’s crypto fund.
Describing the fund to Bloomberg, Brzezek earlier said: “It’s a passive fund that tracks the first blue-chip index for cryptocurrencies.”
He further explained that the index is calculated by stock exchange operator SIX Swiss Exchange AG and is weighted by market capitalization including the value of major coins like Bitcoin, Bitcoin Cash, Ethereum, and Litecoin.
Cryptocurrency market, since January, has maintained a gradual downward momentum. The market capitalization of the coins has gone down from as high as $834 billion to the current value of $275 billion. Moreover, the volatility of the coins has also kept the mainstream businesses away from accepting them.
Though Brzezek admits the market concerns related to volatility, he was optimistic about the new investment opportunity created by the digital assets. However, he was not that certain about Bitcoin’s price after a year. “Maybe it’s $50,000 or just $1000. It could be that another crypto-currency is taking the lead,” Brzezek added.
Source: thebitcoinnews.com Read more here!