Former UBS banker launches crypto fund, seeks Swiss regulatory approval
Swiss fintech startup Crypto Finance AG has launched a fund for crypto currencies and wants to raise around 10 million dollars by the end of January, CEO and co-founder Jan Brzezek told Bloomberg News in an interview.
“It’s a passive fund that tracks the first blue chip index for crypto currencies,” according to Brzezek, who previously worked at UBS Group AG. This index is calculated by stock exchange operator SIX Swiss Exchange AG. It is weighted by market capitalization. In the future, the index is to be extended to a total of 10 currencies.
“The fund is aimed at institutional investors, not at retail customers,” Brzezek said. He named banks, asset managers and family offices as examples. The fund was launched offshore, but the company is working on a license for a Swiss product. Brzezek hopes that Swiss regulation leads to an increase in potential clientele.
That the first fund of the company is passively managed is due to the fact that the asset class of crypto currencies is still relatively young, according to Brzezek. A fund that tracks an index is more transparent and understandable for investors in a new market, he said. However, actively managed funds are planned for the summer.
Anonymous cryptocurrency trading banned in South Korea
South Korea is banning the use of anonymous bank accounts to make cryptocurrency transactions. The move is aimed at stopping virtual currencies being used for crimes such as money laundering.
The regulations will bring the country closer into line with financial rules in other markets. The new policy, which had been discussed for some time, will kick in on January 30th 2018.
Holders of anonymous cryptocurrency wallets must now link them to bank accounts in their own name, and have their identities confirmed. The requirements are similar to the Know Your Customer anti-crime regulations in the US. Separately, underage investors and foreigners will also be banned from opening cryptocurrency accounts in South Korea.
Blockchain News 23 January 2018 launches in Europe
bitFlyer, the Tokyo-based operator of the world’s largest Bitcoin exchange, today announced its launch into Europe. Having been granted a Payment Institution (PI) license to operate in the European Union it has become the first Bitcoin exchange to be regulated in Japan, the US and Europe, making it the most compliant virtual currency exchange in the world.
Blockchain News 23 January 2018