Image Image Image Image Image Image Image Image Image Image Image Image

| July 17, 2018

Scroll to top

Top

Bank Archives -

Stocks fall as crude oil prices dive; bank shares climb

July 16, 2018 |

Major U.S. indexes closed mostly lower Monday as investors bought bank shares but sold most other types of stocks, including healthcare and technology companies’. Energy stocks sank along with oil prices.

Oil prices fell more than 4% after U.S. officials suggested the United States will take a…


L.A. Times – Business

Chile Appeals Court Rules in Favor of Crypto Exchange Against Bank

July 15, 2018 |

Chile Appeals Court Rules in Favor of Crypto Exchange Against Bank

In an ongoing dispute between banks and cryptocurrency exchanges in Chile, an appeals court has finally ruled in favor of one crypto exchange against one of the largest banks in the country. Five major banks have also separately responded to lawsuits against them in court.

Also read: Yahoo! Japan Confirms Entrance Into the Crypto Space

Court of Appeals Ruling

Chile Appeals Court Rules in Favor of Crypto Exchange Against BankThe Fourth Chamber of the Court of Appeals of Santiago has ruled in favor of cryptocurrency exchange Orionx against Banco Estado for closing its account, local media reported. The ruling, which orders the only government-owned bank in Chile to reopen the exchange’s account, was published on Thursday.

The court decided that the bank’s action constitutes “an arbitrary and illegal action, which constitutes a deprivation of the right protected by Article 19 No. 2 of the Political Constitution of the Republic, that is, the right to equality before the law,” La Tercera quoted the ruling.

Chile Appeals Court Rules in Favor of Crypto Exchange Against BankBy closing the exchange’s account, the bank is preventing Orionx “from developing an activity that, although not regulated, does not prevent the bank from adopting less intensive security measures such as the development of effective monitoring and control programs before the final closure of the account,” Emol news outlet cited the ruling. The publication elaborated:

The document refers to breaches of contract and the impossibility of Banco Estado to determine that Orionx engages in money laundering with the currencies with which it operates.

While acknowledging the risks associated with crypto transactions, the court explained that businesses using them “as new forms of investment and payment…cannot necessarily be identified with the commission of criminal acts.”

Banks Responding to Lawsuits

A few lawsuits have been filed against the country’s major banks with the Court for the Defense of Free Competition (TDLC – Tribunal de Defensa de la Libre Competencia).

Chile Appeals Court Rules in Favor of Crypto Exchange Against BankOrionx sued six major banks last month for abusing their power and quashing its crypto payment business. Previously, another crypto exchange, Buda.com, filed a lawsuit against ten banks for closing its accounts and well as the accounts of another local crypto exchange, Cryptomkt. The antitrust court subsequently ordered three banks, including Banco Estado, to reopen the crypto exchanges’ accounts while the lawsuit is still pending.

On Friday, Diario Financiero reported that five banks have responded to the lawsuit against them before the TDLC. The banks are Santander, Banco de Chile, Banco de Crédito e Inversiones (Bci), Scotiabank, and Itaú. The exchanges allege that they abused their dominant position when they either closed the accounts of or denied opening them for crypto exchanges.

Santander wrote in its response letter that “the use of a current account would not be essential for the digital currency traders,” the publication conveyed.

Banco de Chile responded:

The closing of Cryptomkt’s current accounts is not based on the alleged danger of the activity carried out by the plaintiff or because it is not regulated by the authority, but…in the absence of concrete information that allows Banco de Chile to develop the due diligence in the matter of money laundering, since it is required to justify the transactions in the current accounts.

Bci denied any abuse of a dominant position, stating that it would be difficult to do so because crypto “is a practically decentralized market, with a large number of actors, according to public information available.”

What do you think of the Appeals Court’s ruling? Let us know in the comments section below.


Images courtesy of Shutterstock and Orionx.


Need to calculate your bitcoin holdings? Check our tools section.

The post Chile Appeals Court Rules in Favor of Crypto Exchange Against Bank appeared first on Bitcoin News.

Bitcoin News

Indian Central Bank Justifies Its Crypto Stance – Outlines Key Areas of Concern

July 14, 2018 |

Indian Central Bank Justifies Its Crypto Stance - Outlines Key Areas of Concern

The Reserve Bank of India has justified its crypto banking ban to an industry group which has been trying to convince the central bank to ease crypto restrictions. In response, the central bank outlines key areas of concern and upholds its stance on crypto.

Also read: Yahoo! Japan Confirms Entrance Into the Crypto Space

RBI’s Main Concerns

Indian Central Bank Justifies Its Crypto Stance - Outlines Key Areas of ConcernIndia’s central bank, the Reserve Bank of India (RBI), has divulged key areas of concern regarding cryptocurrency. The communication is in response to a representation submitted by the Internet and Mobile Association of India (IAMAI). The document was sent to the central bank during the Supreme Court hearing of IAMAI’s petition against the crypto banking ban.

While RBI’s response cannot be made public, some industry participants have seen it and have discussed its content.

A source who has seen the document told news.Bitcoin.com that RBI told IAMAI it is particularly concerned about investor protection, cryptocurrencies’ lack of intrinsic value, and their anonymity, which could lead to money laundering.

Investor Protection

Indian Central Bank Justifies Its Crypto Stance - Outlines Key Areas of ConcernSohail Merchant, CEO of crypto exchange Pocketbits, commented on RBI’s response, stating that “all the basis of their arguments is ‘Investor Protection’.”

Nischal Shetty, CEO of crypto exchange Wazirx, concurred. “Some of the arguments seem to be around investor protection,” he noted, adding that “but investor protection comes with regulation and not a ban!”

Other crypto exchanges also agree that a ban is not the way to protect investors. Praveen Kumar, CEO of crypto exchange Belfrics, was quoted by Quartz:

By limiting transactions via bank accounts and allowing more cash-related transactions, RBI is allowing more people to get duped…Instead, they need to regulate the exchanges and lay down guidelines that can help prevent these frauds.

In addition, the source shared with news.Bitcoin.com that, “exchanges have been hacked globally and that worries them.”

There has been a rise in crypto-related scams in India. Even BJP party leaders have been accused of being involved in a bitcoin scam. Recently, the Indian state of Maharashtra announced that it is setting up a special investigative unit to investigate all crypto-related cases.

No Intrinsic Value

Indian Central Bank Justifies Its Crypto Stance - Outlines Key Areas of ConcernThe central bank is also concerned that “cryptos have no intrinsic value,” the source added.

RBI’s view reiterates the statement issued by the country’s finance ministry in December last year. Aimed at warning people of the risks of investing in cryptocurrencies, claiming that they are “like Ponzi schemes,” the statement reads:

VCs [virtual currencies] don’t have any intrinsic value and are not backed by any kind of assets. The price of bitcoin and other VCs therefore is entirely a matter of mere speculation resulting in spurt and volatility in their prices. There is a real and heightened risk of investment bubble of the type seen in ponzi schemes….

Anonymity of Crypto

The third major factor of concern for RBI is the “anonymity of crypto leading to money laundering,” the source noted.

However, exchanges argue that strict adherence to know-your-customer (KYC) norms would prevent money laundering, Quartz elaborated and quoted them clarifying, “all transactions are usually carried out via bank account transfers to keep a tab on the money trail.”

India is also not the only country concerned about the anonymity of crypto. Japan, where cryptocurrency is a legal means of payment, is another. The country’s top financial regulator has reportedly been pressuring exchanges such as Coincheck, which was hacked in January, to drop privacy coins.

What do you think of RBI’s concerns? Let us know in the comments section below.


Images courtesy of Shutterstock and the Indian government.


Need to calculate your bitcoin holdings? Check our tools section.

The post Indian Central Bank Justifies Its Crypto Stance – Outlines Key Areas of Concern appeared first on Bitcoin News.

Bitcoin News

Australian Bank Bans Use of Mortgage Funds for Crypto Speculation

July 14, 2018 |

Australian Bank Bans Use of Mortgaged Funds for Crypto Speculation

One of Australia’s oldest financial institutions, Bank of Queensland, has prohibited the use of home equity loans for virtual currency speculation. The move has been attributed to concerns pertaining to the growing regulatory oversight of the cryptocurrency sector in Australia.

Also Read: Tether Announces Appointment of New Chief Compliance Officer

Bank of Queensland Cracks Down on Customers Using Mortgage Funds to Trade Crypto

Bank of Queensland has banned its customers from using loans that are leveraged against home equity for the purposes of cryptocurrency speculation due to concerns pertaining to the increasing regulatory oversight of cryptocurrency activities in Australia.

Contracts issued by Bank of Queensland will now caution prospective borrowers “any loan purpose that involves the acquisition of or usage of cryptocurrency is unacceptable.” The Australian Financial Review (AFR) recently reported that a spokesperson for Bank of Queensland “has confirmed the changes.”

Whilst borrowers cannot invest the capital loaned for property straight into the cryptocurrency markets due to such being paid directly to the vendor, many opportunistic debtors have used funds that are redrawn from their mortgage in order to purchase virtual currency. Other traders have reportedly sought cryptocurrency exposure through accessing a line of credit – where the borrower draws on predetermined lines of credit accessed against property equity.

Australian Regulators Increasingly Target Cryptocurrency

Australian Retail Bank Bans Use of Mortgaged Funds for Crypto SpeculationA mortgage broker who wished to remain anonymous discussed financial institutions’ concerns pertaining to virtual currency speculation with AFR, asserting that lenders are increasingly monitoring debtors accounts for indications that they may be involved in cryptocurrency trading.

“They are concerned because the Australian Taxation Office, Treasury, the Reserve Bank of Australia and AUSTRAC are crawling all over it,” the broker said.

Additionally, AFR asserted that Australian “Lenders and prudential regulators are also concerned to prevent anything that might worsen the nation’s worrying household debt levels, which is already among the world’s highest.”

Other uses for mortgage funds typically prohibited by Australian financial institutions include the refinancing of payday loans, the payment of government fines or penalties, and payments to debt collection agencies.

What is your reaction the Bank of Queensland’s move to ban the use of mortgaged funds for cryptocurrency speculation? Share your thoughts in the comments section below!


Images courtesy of Shutterstock


At Bitcoin.com there’s a bunch of free helpful services. For instance, have you seen our Tools page? You can even lookup the exchange rate for a transaction in the past. Or calculate the value of your current holdings. Or create a paper wallet. And much more.

The post Australian Bank Bans Use of Mortgage Funds for Crypto Speculation appeared first on Bitcoin News.

Bitcoin News

Wells Fargo earnings fall as bank reports a tax hit, fewer loans and deposits

July 13, 2018 |

Wells Fargo & Co. on Friday reported lower-than-expected earnings for the second quarter and said it set aside nearly half a billion dollars to pay additional state taxes in the wake of a recent U.S. Supreme Court decision.

The San Francisco financial giant reported net income of $ 5.2 billion,…


L.A. Times – Business

Binance, Crypto Investors to Launch a Bank in Malta

July 13, 2018 |

Binance, Crypto Investors to Launch a Bank in Malta

Crypto exchange Binance is working on a project to launch a decentralized bank bridging the crypto industry with conventional banking. The financial institution will be based in Malta and fundraising will be conducted under German law. Authorities in Valletta have welcomed the initiative that is expected to win support from other crypto investors as well.

Also read: Mainstream Media Claims Bitcoin Burns More Energy Than Ireland – Does It?

Decentralized, Community-Owned Bank

Binance, the world’s largest cryptocurrency exchange by trade volume, is exploring opportunities to launch a bank. The project, expecting support from other crypto investors, is centered on the idea to create a decentralized, community-owned financial institution, according to the trading platform.

The future Founders Bank will be based in Malta, the island nation that has established itself as a crypto-friendly destination. Binance told Bloomberg it has taken a 5 percent stake at a 133 million-euro ($ 155 million) pre-money valuation, alongside other anchor investors.

Binance, Crypto Investors to Launch a Bank in MaltaIn essence, the new bank represents an effort to bridge the crypto industry with conventional banking. To do that, Binance and its partners need to obtain the necessary permits in Malta, where authorities have already welcomed the initiative. Moreover, the bank’s board will include the government’s blockchain advisor Abdalla Kablan, Malta Daily reported. According to the outlet, the board will be chaired by entrepreneur Michael Bianchi.

“We are honored to be chosen as the location of the first global community-owned bank,” said Silvio Schembri, junior minister for financial services, digital economy and innovation within the Office of the Prime Minister of Malta. He was quoted in a statement released by Binance on Thursday. To operate in the EU, the bank will have to acquire a license from Maltese regulators and an approval from the European Central Bank.

Founders Bank will conduct its offering through the blockchain-based equity fundraising platform Neufund and will issue its own legally-binding equity tokens. The token sale will be conducted under German regulations in collaboration with one of Europe’s major stock exchanges later this year, Binance said, without identifying the exchange.

Part of a Wider Expansion

The news about the project comes after the Binance CEO, Changpeng Zhao, revealed that the trading platform expects to accumulate a net profit of between $ 500 million and $ 1 billion USD this year. The exchange that was launched last year currently reports an average daily turnover of $ 1.5 billion and has about 10 million users.

As a result of increasing regulatory pressures in Japan and Hong Kong, Binance decided to relocate to Malta, where it intends to set up a fiat-crypto exchange with support for fiat deposits and withdrawals as well as EUR and GBP trading pairs. The exchange is not the only crypto company moving from Asia to the island. Okex, another Chinese exchange, announced in April it is setting foot in the country, and in May, the Polish Bitbay revealed its plans to move to Malta.

Binance, Crypto Investors to Launch a Bank in MaltaThe small island nation, member of the European Union, is competing with destinations like Gibraltar and Switzerland for the attention of crypto businesses from around the world. Recently, the parliament in Valletta adopted new laws designed to introduce clear regulations for the country’s growing crypto industry.

The expansion of Binance includes other markets, too. Earlier in July, the company announced it is launching a fiat-crypto trading platform in Uganda. The exchange also reached an agreement with the government of Bermuda, where it wants to set up a global compliance center.

Do you expect Binance to receive approval for the project to launch a bank in Malta? Let us know in the comments section below.


Images courtesy of Shutterstock.


Verify and track bitcoin cash transactions on our BCH Block Explorer, the best of its kind anywhere in the world. Also, keep up with your holdings, BCH, and other coins, on our market charts at Satoshi’s Pulse, another original and free service from Bitcoin.com

The post Binance, Crypto Investors to Launch a Bank in Malta appeared first on Bitcoin News.

Bitcoin News

Litecoin Foundation and Tokenpay Acquire Stake in German Bank

July 12, 2018 |

Tokenpay Swiss AG has officially confirmed that it has acquired a 9.9 percent stake in WEG Bank AG in partnership with the Litecoin Foundation. The terms of the agreement will also include options to purchase approximately 90% overall of the bank, pending the customary regulatory approval.

Also Read: Stiglitz Predicts Cryptocurrencies Will Be “Regulated Into Oblivion”

Litecoin Foundation and Tokenpay Acquire 10% of German Bank

Tokenpay has revealed that a strategic partnership between it and the Litecoin Foundation has seen the entities acquire an approximately 10% stake in the German financial institution WEG Bank.

According to a press release published by Tokenpay, the deal will see WEG Bank “Provide its world-class technology and marketing expertise to Tokenpay and its several blockchain initiatives,” specifically citing Tpay Cryptocurrency, Efin Decentralized Exchange, Tokensuisse Asset Management, WEG Bank Fintech Platform, and Multisignature Transaction Engine.

The managing director of the Litecoin Foundation, Charlie Lee, praised the partnership, stating: “This partnership is a huge win-win for both Litecoin and Tokenpay. I’m looking forward to integrating Litecoin with the WEG Bank AG and all the various services it has to offer, to make it simple for anyone to buy and use Litecoin. I’m also excited about Litecoin’s support in Tokenpay’s Efin decentralized exchange.”

Mr. Jorg E. Wilhelm, the head of the supervisory board of Tokenpay Swiss AG., stated: “We are elated to be in the process of acquiring a large stake in a successful business bank based in Germany such as WEG. Our ecosystem consisting of the Tpay blockchain, WEG Bank, Tokensuisse and Litecoin Foundation provides us with a tremendous opportunity regarding merchant solutions, along with a strong and diverse customer base for our crypto debit card business. The tangible reality of bridging the gap between the old and new world is electrifying.”

Deal May See Acquisition of 90% of WEG

Litecoin Foundation and Tokenpay Acquire Stake in German BankThe terms of the agreement will also include “options to purchase approximately 90% overall of the bank pending the customary regulatory approval.” The release adds that “under German banking law no entity can own more than 9.9% of a bank without regulatory approval.” Tokenpay “plans to exercise its options to acquire the remaining shares of WEG Bank it is entitled to purchase” should approval for such be granted.

Matthias von Hauff, founder, and CEO of WEG Bank AG stated: “The partnership with innovative institutions such as Tokenpay and Litecoin might at first come unexpectedly for a very conservative institution like us. But we have thoroughly and diligently examined the prospects of a common future, and we became convinced that the future of banking will make adoption of such modern payment methods inevitable. We are therefore proud to have teamed up with the best in the field.”

What is your reaction to the acquisition of 9.9% of WEG Bank by the Litecoin Foundation and Tokenpay? Join the discussion in the comments section below!


Images courtesy of Shutterstock, Tokenpay, www.weg-bank.de


At Bitcoin.com there’s a bunch of free helpful services. For instance, have you seen our Tools page? You can even lookup the exchange rate for a transaction in the past. Or calculate the value of your current holdings. Or create a paper wallet. And much more.

The post Litecoin Foundation and Tokenpay Acquire Stake in German Bank appeared first on Bitcoin News.

Bitcoin News

Indian Central Bank Responds About Crypto Restrictions

July 11, 2018 |

Indian Central Bank Responds About Crypto Restrictions

India’s central bank has responded to a representation about its crypto banking ban. The Supreme Court gave the central bank seven days to reply following a hearing last week of the petition by the Internet & Mobile Association of India against the ban.

Also read: Yahoo! Japan Confirms Entrance Into the Crypto Space

RBI’s Response

Indian Central Bank Responds About Crypto RestrictionsIndia’s central bank, the Reserve Bank of India (RBI), has responded to a representation submitted by the Internet & Mobile Association of India (IAMAI), as directed by the country’s Supreme Court.

Nischal Shetty, the CEO of crypto exchange Wazirx, told news.Bitcoin.com that the representation is “a detailed document explaining blockchain, cryptos and how they function,” noting that it was “made with the belief that if the RBI gets a deep understanding of blockchain and crypto then they may go easy on the ban and think about regulations.”

Indian Central Bank Responds About Crypto RestrictionsThis representation was sent to the central bank on July 3 during the IAMAI petition hearing. The Court ordered the central bank to reply within seven days. On July 11, RBI finally sent its response to the association.

According to Sohail Merchant, the CEO of Indian crypto exchange Pocketbits, RBI’s reply is a “2 page generic response.” While stating that “as of now the response cannot be made public” but there is “not much to read though,” he commented:

IAMAI received the response from RBI as directed by SC [Supreme Court], the response is generic with the same language as the public circulars. They have not even given deliberate thought to the points made by us, all the basis of their arguments is ‘Investor Protection.’

Shetty reiterated, “RBI has responded to IAMAI…They aren’t changing their stand.”

Until Next Hearing on July 20

The central bank issued a circular on April 6 banning all financial institutions under its control from providing services to companies dealing in cryptocurrencies, including crypto exchanges.

Indian Central Bank Responds About Crypto RestrictionsRBI gave banks three months to sever their relationships with crypto businesses. As the ban went into effect on July 5, banks began closing accounts of crypto exchanges. One by one, the exchanges stopped supporting fiat deposits and withdrawals.

To bypass banking restrictions, a number of exchanges are launching peer-to-peer (P2P) trading services. Koinex and Coindelta are reportedly launching their P2P services on July 15. Wazirx, on the other hand, already launched its P2P service. The company wrote, “Wazirx P2P goes live today, 10th July at 3PM. With Wazirx P2P, a buyer and seller can buy and sell cryptos for INR directly with each other.”

Meanwhile, industry participants and stakeholders are trying to get the RBI ban lifted by filing petitions with the Supreme Court, which will all be heard on July 20.

Do you think RBI will soon lift the banking ban on crypto? Let us know in the comments section below.


Images courtesy of Shutterstock, IAMAI, and the RBI.


Need to calculate your bitcoin holdings? Check our tools section.

The post Indian Central Bank Responds About Crypto Restrictions appeared first on Bitcoin News.

Bitcoin News

Korean Regulations: Policy Easing, New Crypto Classification, Central Bank Report

July 9, 2018 |

Korean Regulations Update: Policy Easing, New Crypto Classification, Central Bank Report

South Korea has been busy revising its cryptocurrency regulations. The regulators plan to ease the rules on crypto assets in line with G20 policies. While a new crypto classification system has been created, another government agency is conducting an on-site inspection of crypto exchanges following multiple hacks. In addition, the Bank of Korea has released a report with its view on using crypto as a means of payment.

Also read: Yahoo! Japan Confirms Entrance Into the Crypto Space

Policy Easing

Korean Regulations Update: Policy Easing, New Crypto Classification, Central Bank ReportSouth Korea has been actively revising and updating its regulations for cryptocurrencies. The Korea Times reported last week that the country’s top financial regulator, the Financial Services Commission (FSC), has revised “its guidelines relating to ‘all activities’ of Korea’s leading cryptocurrency exchange operators.”

Furthermore, “financial regulators plan to ease rules on crypto-based assets in line with policies initiated by G20 nations to establish unified regulations,” the publication detailed.

Korean Regulations Update: Policy Easing, New Crypto Classification, Central Bank ReportHowever, an FSC official told the news outlet that “Any major reversal in policies is unlikely.” Specifically, the policy change will not affect the way cryptocurrencies are classified for regulatory purposes. “The administration earlier classified cryptocurrencies as ‘non-financial products’ due to their speculative nature,” the news outlet conveyed, emphasizing:

The FSC and FSS [Financial Supervisory Service] will not change the government’s stance on crypto or digital assets as it’s difficult to value them as ‘financial assets’.

New Crypto Classification System

The South Korean Ministry of Strategy and Finance’s Statistics Korea, responsible for statistics in the country, has created a classification system for cryptocurrency operators and other blockchain-related entities.

Korean Regulations Update: Policy Easing, New Crypto Classification, Central Bank ReportSedaily explained that Statistics Korea has been gathering comments on the new classification system, which will be reviewed by the National Statistical Commission Policy Subcommittee on July 11. The official results will be announced on the 25th. The publication detailed:

Cryptocurrency exchanges such as Bithumb and Upbit are expected to be officially classified as crypto asset brokers after the government’s current title of ‘virtual currency handler’ is removed…The blockchain industry will be managed as a formal industry, starting with the government’s industrial classification, and conducting surveys and statistics.

Korean Regulations: Policy Easing, New Crypto Classification, Central Bank ReportSpecifically, the news outlet added that “Blockchain platforms such as EOS and Ethereum also have unique industry classification criteria.”

The agency explained that the proposed classification “will be used for administrative purposes for the development of related statistics and various government policies and support,” Zdnet clarified. This new classification of crypto-related entities for statistical purposes does not affect the regulations by the FSC.

 

On-Site Investigation of Crypto Exchanges

Korean Regulations Update: Policy Easing, New Crypto Classification, Central Bank ReportThe government also announced last week that the Korea Communications Commission (KCC) has launched an on-site investigation of major cryptocurrency exchanges. This is in collaboration with the Korea Internet Promotion Agency (KISA) following the hacks of multiple crypto exchanges. The announcement states:

The on-site inspection mainly focuses on the technical and administrative protection measures for personal information, such as access control to the personal information processing system, prevention of tampering with access logs, encryption of personal information, and prevention of malicious programs.

Bank of Korea’s Crypto Report

Korean Regulations Update: Policy Easing, New Crypto Classification, Central Bank ReportThe Bank of Korea (BOK) released its big report on “crypto assets and central banks” on Friday, July 6, according to local media. This report examines domestic and international discussions on the economic and legal nature of crypto assets, as well as key issues related to the central bank.

Korean banks held crypto-assets totaling 2 trillion won (US$ 1.79 billion) as of December last year, equivalent to about 8 percent of the total deposits by the country’s brokerage houses, the central bank described.

According to BOK, “The amount of crypto-asset investment is not really big, compared with other equity markets, and local financial institutions’ exposure to possible risks of digital assets is insignificant,” Yonhap conveyed.

“Cryptographic assets are highly volatile, and transaction costs such as fees and processing time are high, making it difficult to function as currency,” Real News Korea quoted the report which also states:

It is not easy [for cryptocurrency] to have broad acceptance in the short term and [it] is less competitive than traditional means of payment such as cash or credit cards. In other words, it is difficult to become a medium of exchange.

While concluding that “it is difficult” to use cryptocurrency as money, Business Post quoted the central bank describing, “It is likely [for cryptocurrency] to be used as a means of payment in limited areas such as overseas remittances.”

Furthermore, the central bank divulged in its report:

If the technical problems of virtual currency are resolved and the acceptability of virtual currency in the general society is increased, it cannot be ruled out that it can be widely used as an investment asset and payment means.

What do you think of all the changes in Korean regulations? Let us know in the comments section below.


Images courtesy of Shutterstock, the Hankyoreh, and the South Korean government.


Need to calculate your bitcoin holdings? Check our tools section.

The post Korean Regulations: Policy Easing, New Crypto Classification, Central Bank Report appeared first on Bitcoin News.

Bitcoin News

German Bank Offers Special Accounts to Cryptocurrency Firms

July 9, 2018 |

German Bank Offers Special Accounts to Cryptocurrency Firms

The Berlin-based Banking-as-a-Platform (BaaP) institution Solarisbank has recently announced the launch of their new banking service plan that’s focused on clients from the blockchain and digital currency industry. The newly featured resource called the ‘Blockchain Factory,’ will offer financial management services to companies whose business operations deal directly and indirectly with cryptocurrency solutions and blockchain technology.  

Also read: A Look at the Long and Annoying Process of Claiming Bitcoin Forks

This German Bank Plans to Provide Special Bank Accounts for Cryptocurrency and Blockchain Companies

German Bank Offers Special Accounts to Cryptocurrency FirmsOver the past few years as cryptocurrencies have gained in popularity a few companies like exchanges and brokerage services that deal with digital currencies have had issues with their banking providers. Banks and other financial management services have ceased their partnerships with cryptocurrency firms and have closed business accounts making it very difficult for blockchain companies to establish reliable banking partners. Now the German financial tech company, Solarisbank, plans to offer a service called the ‘Blockchain Factory.’ Companies who deal with cryptocurrencies will now have a solid banking colleague who understands the technology.

“The Blockchain Factory will be used by Solarisbank to offer banking services to companies whose business is directly or indirectly based on cryptocurrencies and blockchain technology — One example of these services is the ‘Blockchain Company Account’ for the banking business of blockchain companies,” Solarisbank explains.   

Furthermore, services for global cryptocurrency marketplaces will be made available to make it easier to buy and sell fiat currencies; such as the Solarisbank ‘Automated Trust Account’, an automated escrow account for cryptocurrency marketplaces.   

High Demand from the Blockchain World for a Licensed Banking Partner

Solarisbank has done well since the bank’s inception in March of 2016, and entered a strategic partnership with Mastercard the following October with plans to build new banking modules. Last March, Solarisbank raised $ 70Mn USD in a Series B funding round from firms such as ABN Amro, SBI Group, Visa, BBVA, and Lakestar.  

“There is high demand from the blockchain world for a licensed partner that forms the technological and regulatory bridge to traditional banking — as a technology company with a banking license, we are the natural partner,” Roland Folz, the CEO of Solarisbank details.

German Bank Offers Special Accounts to Cryptocurrency Firms

A Hybrid Future

The financial tech company has started its first partnership with another firm called VPE Bank and the two have plans to provide cryptocurrencies to institutional traders. Moreover, the firm will establish partnerships with cryptocurrency companies that deal with banking and debit cards within their business model.

“The fiat world is not about to dissolve. We are moving towards a hybrid future, in which the blockchain world still has to prove itself,” the CTO of Solarisbank, Peter Grosskopf explains.

However, we see the disruptive power of these business models and we want to help shape the future of this industry. 

What do you think about Solarisbank’s new Blockchain Factory banking services? Do you think companies who deal with cryptocurrencies need better banking providers? Let us know your thoughts on this subject in the comment section below.


Images via Shutterstock, and Solarisbank


Verify and track bitcoin cash transactions on our BCH Block Explorer, the best of its kind anywhere in the world. Also, keep up with your holdings, BCH, and other coins, on our market charts at Satoshi’s Pulse, another original and free service from Bitcoin.com. Need to calculate your bitcoin holdings? Check our tools section.

The post German Bank Offers Special Accounts to Cryptocurrency Firms appeared first on Bitcoin News.

Bitcoin News