Zurich’s Crypto Broker AG, part of a digital asset conglomerate that includes assets management and custody services, was granted a securities house license. Through a press release Monday, the firm announced it had been given a securities house license by the Swiss Financial Market Supervisory Authority (FINMA).
From the company’s capacity, “the license will help in broadening the scope of its business and adding a rubber-stamp when it comes to compliance, risk monitoring, liquidity reporting and so on,” the CEO Rupertus Rothenhaeuser emphasized.
He also said in an interview:
“Some of our client banks have strict orders only to trade with regulated partners.”
“Now it’s just a case of calling them up to tick a box and they can start trading.”
Banks can tick a box with the license and start trading with us, said CEO Rupertus Rothenhaeuser.
Swiss crypto regulations
Judging from the records, Switzerland is one of the few countries where regulations are keeping up with crypto infrastructure.
The Crypto Brokers AG’s securities house license is to join other regulated Swiss crypto players like SEBA and Signum, and dive into the world of regulated security tokens (an area that just received further clarity in Switzerland thanks to the so-called “super DLT law”).
The license will allow the firm to hold funds in fiat currency for clients.
“On the one side, we are very much a modern, fast, DLT-based business. But on the other side, the payment cycle for cryptocurrency transactions reminds me sometimes of being back in the 1980s,” Rothenhaeuser said. “Being a securities license holder enables us to keep funds in the account rather than always keep the balance zero, so we can do much better straight through processing and also maximize our margins.”
Asked which big players are waiting in line to start trading with Crypto Broker AG, Rothenhaeuser politely declined to name names but said some big players would appear in the news cycle shortly.
“We’ve been waiting a long time for this license. I expect to be on the phone solidly for the next five days,” he said.