Bitcoin Suisse Looking To Raise $50 Million For Dual Banking Licenses Amid The COVID-19 Pandemic

Large cryptocurrency-related financial service company, Bitcoin Suisse, is looking to raise over $50 million from investors. The institution plans to expand its services in Switzerland and Liechtenstein by receiving dual bank licenses.

Bitcoin Suisse To Raise More Funds

Founded in 2013, Bitcoin Suisse AG has become a prominent market player in terms of brokerage, custody, lending, staking, and other cryptocurrency-related services. Currently valued at over $275m, the entity announced earlier today plans to raise approximately $50 million more from investors to fund its growth ambitions.

Bitcoin Suisse wants to boost its capital base to $100 million to double down on its 2019 candidacy to receive banking and securities dealer’s licenses in Switzerland.

Additionally, the organization plans to convert all operations currently based in Liechtenstein into a fully operational bank. Should it be successful, this would provide it with full access to banking clients operating in the European Union.

The company also informed that it could reach a “unicorn” status (a valuation of $1 billion) in the next five years.

The $50 million funding will remain open until mid-June, and Bitcoin Suisse is offering up to 20% of group shares. The firm also informed that it has already raised $20m in another round led by Swiss banker Roger Studer and the Studer Family Office.

Bitcoin Suisse founder and chairman, Niklas Nikolajsen, said that the fresh injection of capital would assist the company to “continue our exponential growth, as well as expand with cross border licenses.” However, he believes that “looking forward, we could face limitations as to the speed of our growth.”

Funding In Times Of COVID-19 Pandemic

Bitcoin Suisse fears that the upcoming funding could present a serious test in these times of uncertainty prompted by the coronavirus outbreak. World economies, financial markets, and investors received massive blows following the spread of the virus. Thus, the organization considers relying on several trump cards to secure the funding it needs.

For starters, Bitcoin Suisse is presenting itself as an established business with 145 staff members. In addition, the company noted it has around $1 billion of cryptocurrency assets in custody.

Lastly, the organization outlined that business has picked up at the start of 2020, reaching record levels in April.