Cryptocurrencies and crypto-related activities remain restricted throughout most of the world. However, Switzerland has remained the hub for the nascent market. According to reports, a Swiss bank has announced the launch of client access to ICOs, an industry first. Interestingly, most traditional financial institutions have stayed outside active involvement in the crypto sector.
As per Finance Magnates, a Swiss banking group will begin offering customers opportunities to participate in initial coin offerings (ICOs). Swissquote will become the first bank to offer such services in an industry largely associated with fraud. The clients will access the services via Swissquotes online platform.
The client access to ICOs simplifies an otherwise complicated process
?Similar to initial public offerings, ICOs are a new way of funding that uses cryptocurrencies instead of traditional fiat currencies. In order to participate in these crowdfunding ventures, consumers typically need to own a blockchain wallet and understand blockchain technology,? Finance Magnates writes.
Essentially, the new service by Swissquote removes the much of the complexity explained by Finance Magnates. Instead, clients will only need to have access to the bank?s online platform to perform all ICO-related activities. Users can purchase tokens offered in ICOs using their trading account. The bank will charge 1.25% of the sum clients will contribute to ICOs as fee for the services.
According to the CEO, Mark B?rki, the move intends to further democratize the financial industry. This is in line with Swissquote?s strategy and philosophy.
?True to our philosophy to democratise finance by offering services that are simple and accessible to everyone, we are now offering our clients the opportunity to help grow start-ups,? B?rki notes.
Particularly, the move intends to help Lausanne-based LakeDiamond offer its first ICO. According to a statement by the diamond merchant, the ICO will facilitate acquiring new equipment to make industrial diamonds. Through the ICO, LakeDiamond aims to raise CHF60 million which will go towards adding new diamond reactors.
Also, the ICO will see the offering of the LakeDiamond token dubbed LKD, Swissinfo.ch reveals. It adds that each LKD token will go for CHF0.55 and will launch in the early months of 2019.