Hong Kong’s Summer Capital Makes Investment into Swiss’ SEBA Crypto AG Bank
Summer Capital Joins Swiss Cryptocurrency Investment Bank in Its Series A Fundraising
A Hong Kong Firm, Summer Capital, has recently joined SEBA Crypto AG’s Series A Funding, which is its first move in the cryptocurrency space. The firm also plans to be in SEBA’s ICO come 2019.
The spokesman for Summer Capital, Jack Chung, noted that the firm hopes for an approval by the Swiss Financial Market Supervisory Authority (FINMA), adding that endorsement for SEBA would be beneficial as the Swiss company will now be able to easily expand to other Asia-based blockchain companies that don’t have access to mainstream banking.
SEBA crypto AG’s chief executive, Guido Buhler, said that Summer Capital will get Swiss regulatory approval in Q2 2019; further stating that the primary focus of his company will be transactional banking. He also noted that:
“It has been tough for blockchain start-ups to grow their businesses as they are unable to access the traditional banking system. We are building infrastructure to allow companies to pay salaries in cryptocurrencies, and bridging the disconnect between fiat and cryptocurrency payment.”
Besides offering traditional banking services to its customers, SEBA will also serve institutional clients by adding cryptocurrency custodial services. Buhler also noted that the company would also avail liquidity services, serving different cryptocurrency exchanges, including those based in Asia.
Swiss-Based Crypto Firms Not in Good Terms With Swiss Banks
Cryptocurrency companies in Switzerland are not in good terms with banks in the country, because banks see digital asset industry as unregulated, and therefore decline to offer any crypto-related services to firms. Companies offering digital currency services, on the other hand, tend to be frustrated for lack of support, so much that many of them even opted to move out of the country to other crypto-friendly regions.
However, there are some startups emerging that promise to bridge the divide. For instance SEBA Crypto AG managed to raise $100 million for its proposed regulated virtual currency bank. According to the startup, it will bridge the gap, catering to the needs of users requiring digital currencies as well as traditional transactional banking.