Swiss Bank Maerki Baumann Begins Accepting Crypto Assetsbr>
Swiss private bank Maerki Baumann has announced that it will begin accepting cryptocurrencies.
Based in Zurich, Maerki Baumann’s primary business is investment advisory and asset management for both private and institutional clients. A tiny proportion is the lending business, which takes the form of Lombard loans and mortgages. According to its 2017 financial report, the family-owned bank manages 646.3 million CHF ($649M USD) in client assets.
In article published on its website, Maerki Baumann said the bank is generally prepared to accept funds generated through cryptocurrencies, be it through speculative transactions or in the form of payment received for services provided or from mining profits.
“Maerki Baumann closely monitors the development of these investment vehicles and the underlying regulation without our commitment to engage in this area,” the bank said. “This concerns investments in cryptocurrencies as well as the technologies required to trade and store these instruments.”
The bank, however, clarifies that while they currently see cryptocurrencies as alternative investment vehicles, as an institution it has no present plans to invest becasue it “currently only has limited empirical data and information to call upon (prices, volatility, trading volumes).”
“Generally speaking, however, we would advise against any major investment in cryptocurrencies at present,” the bank said. “In our view, cryptocurrencies are unsuitable for long-term investors due to the uncertainties set out above. Only investors who are aware of all the risks associated with these investment instruments should consider allocating a limited proportion of their disposable assets to this asset class.”
The news came after Switzerland-based Falcon Private Bank announced earlier this year that it has implemented a compliant process to accept wealth generated from crypto assets.