Selected articles of the week:
The Swiss banking giant Postfinance is set to enter the cryptocurrency space with a comprehensive trading and custody solution for digital assets. This move marks a significant milestone for the Swiss financial services provider as it becomes the first major Swiss bank to offer such a solution to its clients. With this bold step into the world of digital currencies, the subsidiary of Swiss Post is following in the footsteps of major US banks and providing its diverse customer base the opportunity to position themselves in the new asset class in a professional and regulated environment.
PostFinance identifies cryptocurrencies as an emerging growth area and is starting with an initial trading and custody offering.
The integration of cryptocurrencies into traditional financial infrastructure is ubiquitous, and consequently, so is the need for specific regulatory clarity. The legal framework for digital assets is shaped by the Swiss political system and implemented and dictated by the banking supervisory authority FINMA. CVJ.CH interviewed representatives of the most popular Swiss parties before the upcoming national and cantonal elections to find out their stance on cryptocurrencies and what priority they give to them in their political work.
A comprehensive overview of Swiss politicians regarding the regulation and political relevance of Bitcoin & Co.
Mt. Gox was the dominant cryptocurrency exchange, writing history with its disastrous end in 2014. The cryptocurrency exchange was one of the first in the industry and dominated the market with a trading share of up to 80%. The success story came to a sudden end with increasing technical problems, coupled with a devastating hacker attack in which customers lost most of their holdings. After declaring bankruptcy, around 200,000 Bitcoins were seized for the creditors. After a long legal battle, the former customers of the exchange could now receive first repayments.
After crypto exchange Mt. Gox had to announce the loss of billions of bitcoin in 2014, the first repayments could soon be made.
Celsius Network, a crypto lending platform, has filed for bankruptcy in the state of New York and initiated a restructuring process this week, confirming long-standing concerns about the company’s solvency. The bankruptcy filing is the result of poor risk management practices that left the CeFi firm with a $1.2 billion shortfall, equivalent to about 20% of its obligations.
After halted withdrawals and a lot of uncertainty for Celsius customers, the firm has officially filed for Chapter 11 bankruptcy in New York.
In addition: Smaller Swiss private banks are also increasingly integrating digital assets into their strategy. With Kaleido, another Zurich private bank enters the market. The integration is carried out through a partnership with the Swiss transaction bank Incore.
Kaleido Privatbank now also relies on InCore Bank’s Digital Asset Services in addition to all classic banking services.
