Binance, the largest cryptocurrency exchange, has involved in the first decentralized bank to be opened in Malta. In the future, Founders Bank will offer tokens with which investors can participate in the company.
Bloomberg reported on July 12 that Binance had acquired a 5% stake in the world’s first decentralized bank. The Founders Bank will be based entirely on the blockchain technology. As Founders Bank is collaborating with the Neufund fundraising platform, it can acquire the “sharing” tokens through this platform, says Binance.
The bank hopes to obtain a license from the EU so it can officially start its business. If permit goes through, the bank will be the first decentralized and community-owned bank in the world.
“Malta is the fusion ground for traditional and blockchain finance now. A lot can happen in 3 short months,” said Changpen Zhao, the CEO of Binance.
The Founders Bank declared that it would be the first stable and high-tech banking solution to bridge the gap between the traditional financial world and the crypto companies.
According to the company, anyone who later owns the participation token becomes the co-owner of the Founders Bank. Furthermore, this new type of business and financing model could take Malta a step further in the crypto ecosystem.
“We are honored to be one of the first investors in this inclusive community and groundbreaking initiative, as well as exploring the full range of banking services. We are also looking forward to furthering lively blockchain opportunities in Malta and further partnerships in this region”, said the Office of the Prime Minister of Malta.
The bank wants to focus on tech and business companies and intends to offer “first class” banking solutions. Users can access their bank accounts from both mobile and desktop applications. Also, the bank wants to provide credit cards. The company is currently awaiting the issuance of the banking license from the Maltese tax authority. The initiative should start in 2019.