The Swiss Financial Market Supervisory Authority (FINMA) has officially approved the Crypto Market Index Fund today and published a press release on the matter. Such an investment fund, dedicated to crypto, had yet to exist.
Switzerland, known for its banking sector and numerous millionaires, is an ideal setting for a fund like this.
Custodian Bank Licensed
Yesterday, FINMA bestowed a CISA license on SEBA Bank to function as a custodian bank for crypto assets, in other words, granting them permission to operate as a crypto custody service.
Per SEBA regarding their license, “This is the first license granted in Switzerland by the Swiss Financial Market Authority (FINMA) to a custodian bank focused on digital assets.” Given its new capacity, the bank can offer more digital asset-centric investment opportunities to professional clients.
Specifics About the Fund
Swiss asset manager Crypto Finance is working alongside an investment company named PvB (Pernet von Ballmoos) AG and SEBA Bank AG on Crypto Market Index Fund.
Crypto Finance stated, “This passive investment fund from Crypto Finance tracks the performance of the Crypto Market Index 10, which is administered by the SIX Swiss Exchange.” SIX Swiss Exchange’s Crypto Market Index 10 is comprised of 10 major cryptocurrencies.
A few conditions for approval are that the fund “may only invest in established cryptoassets with a sufficiently large trading volume.” Furthermore, investments are restricted in that they must be made by “established counterparties and platforms” situated in member countries of the Financial Action Task Force (FATF) against money laundering.
This is certainly a pioneering, pleasant development for Switzerland and European investors in the surrounding area. What’re your ideas on digitized assets and cryptocurrencies in Switzerland, Europe, and beyond?