Switzerland’s InCore Bank, the B2B banking solution provider, reveals that it has launched a comprehensive crypto-asset service.
The securitization solution, called CRYSP, was developed with assistance from GenTwo Digital, a provider of innovative securitization platforms for crypto-assets.
The solution enables fund managers, whether they’re from a bank or external department, to create bankable products that are based on virtual currencies, and then provide them to their customers in the form of actively managed certificates (AMC) without having to deal with the complete set-up process.
The white-label approach allows asset managers and banking platforms to implement and offer their cryptocurrency-focused strategies in a fully compliant manner. AMCs support the active management of structured financial instruments.
Consistent with the white-label approach, banking platforms and fund managers have the ability to offer their crypto AMCs with their own fee models while being able to distribute them under their own brand name.
The entry into this nascent sector has been simplified for the sponsors: As a pure transaction bank, InCore Bank handles the technical and regulatory requirements of the strategies as well as the issuance and settlement of corresponding certificates for customers.
GenTwo Digital is tasked with establishing and managing the securitization platform and determines the value of the certificates. InCore Bank handles and represents the digital asset solution.
The Zurich-headquartered transaction bank serves as paying agent. The execution of trades and the custody of the crypto-assets will be carried out via Kraken’s platform. As the leader in Euro trading volumes and liquidity for cryptos, customers should get access to over 70 different digital assets and trading is supported in 7 different fiat currencies.
Mark Dambacher, CEO of InCore Bank AG, stated:
“With CRYSP, we are thrilled to make it easier than ever before for banks and asset managers to offer investments in digital assets. The fact that we are close to issuing and trading the first certificates is a testament to the market’s dynamism.”
Two fund managers have now confirmed that they’re introducing investment products using the solution during H2 2021. The first products on CRYSP have been co-developed by Zurich-headquartered DuLac Capital and Zug-based CV VC.
The crypto-asset investment solutions enable parties to enter this nascent segment. They include a basket of the eight largest cryptos being traded via Kraken as well as a selection of decentralized finance (DeFi) tokens.