Binance, the world’s biggest cryptocurrency exchange with fees by 24-hour trading volume, has announced their plan to lay the groundwork for a new bank whose owners will be crypto investors. The home to this bank, calledFounders Bank, is set to be the crypto-friendly European island of Malta.
According to a Binance statement emailed to Bloomberg on Thursday, the company has invested in a 5% stake alongside other anchor investors at an EUR 133 million (USD 155 million) pre-money valuation. The bank will also need a license from regulators in Malta.
Once the regulators’ license is obtained, Founders Bank is set to become the world’s first decentralized and community-owned bank, and it will raise capital through the Berlin blockchain-based equity fundraising platformNeufund, issuing its own “legally-binding equity tokens” under German regulation.
“We are not only excited to be one of the first investors of this inclusive community for this pioneering initiative, but also looking forward to explore the full range of its banking services. We continue to be delighted by the vibrant blockchain opportunities in Malta, and look forward to launching more partnerships in the region,” said Changpeng Zhao, founder, and CEO of Binance.
The bank already has a website at FoundersBank.org, which currently only holds basic information, with more about it in a blog post on Medium.