Signature Bank of New York has just announced that it will be soon opening accounts for financial technology firms including many crypto startups in Bermuda. The bank is going to offer its full banking services to the said Bermudian organizations. Crypto startups in Bermuda have been struggling to secure necessary banking accounts recently and Signature Bank has arrived to save the day.
The Bermudan government announced this Thursday that the New York-based bank is going to offer full-fledged U.S. banking services to licensed and registered financial technology firms in Bermuda. The initial stage involves opening of the accounts of 66 startups that are incorporated with the country’s government.
On this Friday, an executive from Signature Bank confirmed the news to several media outlets when approached for a comment. According to the announcement made by the Bermudan Government on Thursday, startup organizations that are eligible can start applying for the services effective immediately. Edward David Burt, Premier and Minister of Finance of Bermuda stated in an interview that the Bermudan government strives to make the island a prime destination for “financial technology companies looking for a place to domicile.”
This is a significant step for financial technology firms all around the world as banks are usually hesitant when it comes to offering their services to financial technology companies. With companies that deal with digital assets, there is always a chance of international regulations being violated. Premier David Burt expressed this fact and added that SB’s decision to open its services for Bermudan startups is a “significant vote of confidence in, and endorsement of Bermuda’s efforts” to create exemplary high standards when it comes to regulating financial technology businesses.
John Tamberlane, vice chairman of Signature Bank, stated that his financial institution was impressed by the Bermudan government’s regulatory framework for FinTech firms. Tamberlane added that the company is looking forward to working with the government to promote growth and expansion of the digital asset industry in Bermuda.
Bermudan population has become very involved with the cryptocurrency industry in recent years and a lot of talented businesses have also sprung in the country. The population is among the most active population to buy cryptocurrencies. Cryptocurrencies traded by the Bermudan population include the like of Bitcoin, Ethereum, Stellar Lumens and Ripple. The interest of Bermudan entrepreneurs towards crypto technologies had developed greatly when the Bermudan government partnered with Binance to establish a Global Compliance Centre. Binance invested about $5 million in blockchain companies in Bermuda in that partnership.
Signature Bank’s CEO and president Joseph DePaolo also told the press that the financial institution is working on an internal payment system based on the blockchain technology. The robust payment system is called Signet. The CEO also mentioned that while the bank is offering a hand to crypto startups all around, many traditional financial businesses are also going to sing up with SB for its deposit accounts and corporate debit cards.