Bank Frick of Liechtenstein now offers cryptocurrencies as an investment option for their banking patrons. This represents one of the first banks to offer such an investment opportunity. Why would a bank do this given how antithetical it is to their business model?
Upon doing further research, Bank Frick is actually a private bank of sorts that appears to not offer traditional loans. It's also domiciled in the tax haven and banking center of Liechtenstein, famous for their bank secrecy and anonymity laws. In many ways it's a perfect match for a home for bitcoin investment.
Bank Frick announced that they'll be offering bitcoin as well as the most common altcoins, including Ripple, Litecoin, and Ether.
The coins are advertised to be held in cold-storage wallets with the highest in bank-quality protection. Customers must undergo the typical financial scrutiny necessary to open a standard bank account, in compliance with European and Liechtenstein-specific laws.
The demand is there for these cryptocurrencies to enjoy the price appreciation that speaks for itself for many high-flying altcoins and bitcoin itself. Banks are smart to embrace this demand and keep client funds within the umbrella of their own organization to enjoy management fees in the process. The resistance by loan-giving banks against these coins will more than likely persist as long as funds are diverted from checking and savings accounts. It'll be years if Wells Fargo or other mainstream banks ever embrace cryptocurrencies into their banking products presented to depositors. Until then small, innovative banks will enjoy the patronage from savvy crypto investors.
