The first licensed bank to launch its own cryptocurrency is the European Union Bank AG. Based in Liechtenstein, the bank is setting out to disrupt how financial institutions think of altcoins, as it will be launching its very own digital currency.
As reported by AMB Crypto, the Bank commented on their decision to launch a cryptocurrency amidst booming speculation on how banks and other financial institutions should treat altcoins:
” ….a transformative Crypto Currency and Blockchain initiative: the fully licensed bank in Liechtenstein will be the first ever to issue its own security tokens, closely followed by a fiat-backed Union Bank Payment coin.”
The coin will be named by the name of the Bank, essentially Union Bank Payment Coin. The value of the cryptocurrency will be backed up by fiat money.
Union Bank seems to be an “all crypto” financial institution, since it has backed up different ICOs and is already planning to be a blockchain investment bank.
Servicing customers from Liechtenstein, Switzerland and Germany, the bank is working with Verum Capital AG for the full implementation of blockchain into the bank’s services.
As reported by AMB Crypto, the chairman of Union Bank expressed his positive thoughts on the bank becoming a cryptocurrency-blockchain powerhouse:
“Our goal is to become the world’s first blockchain investment bank and to provide tangible solutions which help drive efficiencies, reduce cost base and open up new revenue opportunities for our customers and intermediaries alike. As a fully licensed and regulated bank we are in a privileged position to combine all the advantages of trading banking with the possibilities inherent in the blockchain technology.”
If Union Bank is successful in managing the success and liquidity of its token, then there may be more financial institutions will consider launching their own digital coin.
In the meantime, Bitcoin and other altcoins are experiencing alarmingly low value levels, as the market is down and many are wondering if the Bitcoin ETF will be approved on Thursday, 23rd.