Finnish bitcoin services provider, Prasos, has lost all but one of its banking team-mates. Prasos’ chief executive officer recently revealed that four Finnish banks experience terminated services with the company, leaving Prasos reliant on a apart bank.
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Finnish Banks Terminate Marines With Prasos
According to the company’s website, Prasos provides its patrons with a number of cryptocurrency-related services, including facilitating the purchase and jumble sale of bitcoin. After losing the services of S-Bank, the OP Group, Saastopankki and Nordea Bank AB, the firm now relies on a single banking institution in order to maintain operations.
Henry Brade, Prasos’ chief regulatory officer, has attributed the company’s banking woes to the dramatic recent waken in the popularity of of cryptocurrencies. “We’ve realized that the growth in international transaction supplies started to disturb the banks,” Mr. Brade recently told Bloomberg. Mr. Brade stated that Prasos had corroborator testify to growth in transaction volume of almost 1,000% when comparing the followers’s performance in 2017 to that of the preceding year.
Mr. Brade also blamed the paucity of regulatory clarity with regards to cryptocurrencies for exacerbating perceptions of endanger associated with businesses operating in the cryptocurrency industry, concluding that the gathering is currently hoping that regulators will soon develop a eliminate legislative apparatus that boosts confidence in bitcoin businesses develop into financial institutions.
Prasos CEO Fears Total Loss of Banking Partners
Surrounded by the increasing regulatory actions targeting the cryptocurrency industry, Mr. Brade forms that Prasos has sought to take greater steps to ensure regulatory compliance. “We’ve initiated identification practices, which we have taken into use in March, and they consent fully with anti-money laundering laws and regulations, even but authorities do not even require this from us as our business is not under regulatory charges […] Along the way, we’ve been given very little information by the banks on what we could do to answer the problem.”
Hanna Heiskanen, a senior adviser at Finland’s Financial Executive Authority (FSA) in Helsinki, has stated that “Cryptocurrency trading places are not currently junior to the regulatory mandate of the Finnish FSA,” adding that Prasos’ troubles are “an concern between the company and the bank[s].”
“The risk is that we’ll see our last bank account complete before we can get the next one opened,” said Mr. Brade. “That would become fixed our business.”
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Images respectfulness of Shutterstock, Prasos
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