The CEO said the bank was close to breaking even but was currently prioritizing investments for growth over those for profitability.
Swiss crypto bank Amina is applying for a virtual asset service provider (VASP) license from the Austrian Financial Market Authority, CEO Franz Bergmüller said.
In an interview with Finews published on Tuesday, Bergmuller explained that the bank had to build a new team before it could conduct business or generate revenue in Austria.
He added: "As a bank we are close to breaking even, but we have decided to prioritize investing for growth for now." Amina Bank, formerly known as SEBA Bank, established its headquarters in Zug, Switzerland in April 2022.
Amina's license application is related to the EU's MiCA regulations
Amina’s efforts to obtain a license coincide with the implementation of Europe’s Markets in Crypto-Assets (MiCA) regulations in June. This is the EU’s first attempt to standardize crypto asset regulation across member states. Its goal is to address the lack of specific financial rules for crypto assets and provide clear guidelines for industry issuers and service providers.
MiCA requires crypto-asset service providers and issuers to meet various regulatory standards. This is especially true for those managing asset-reference tokens such as stablecoins and e-money tokens. Compliance with these standards is essential to operating legally in the EU.
Amina to expand in Europe, CEO highlights demand for crypto-backed loans
Amina plans to further diversify geographically by expanding its presence in Europe. “Overall, our goal is to become the leading bank for the entire crypto ecosystem, including miners, foundations, and crypto funds,” the CEO said.
The executive highlighted the strong demand for cryptocurrency loans and revealed that Amina has a waiting list of cryptocurrency startups that have traditional bank accounts. However, the high cost discourages many people.
He noted that Amina’s customers “completely believe” in cryptocurrencies. The executive said they would hold on to their investments for the long term even in the face of large price swings.
“Our clients have typically been invested in this asset class for more than a decade,” he added. “They understand cycles and have been through several crypto winters. That gives them the necessary calm.”