Crypto exchange Binance and blockchain fundraising platform Neufund are supporting the creation of a decentralized and community-owned bank based on the blockchain island Malta. Founders Bank will offer banking solutions to tech and crypto businesses and will offer credit cards but will not have a physical banking presence for consumers.
Binance revealed they have invested in the company but did not specify the amount. Founders bank will conduct an offering of its own legally-binding equity tokens through the Neufund platform. The equity token offering will be in collaboration with one of Europe’s major stock exchanges and will allow anyone to become a co-owner of the digital bank.
“We are not only excited to be one of the first investors of this inclusive community for this pioneering initiative, but also look 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 is estimated to launch in 2019 following the token offering later this year. It is currently awaiting a banking license in Malta but the Blockchain Island has shown that it wants to support crypto businesses which led to Binance relocating there. Silvio Schembri, Junior Minister for Financial Services, expressed his backing for the bank and hoped that it will bring even more related businesses to the island.
Michael Bianchi, chairman and co-founder of Founders Bank, said: "Founders Bank is the missing piece of #BlockchainIsland on Malta. We are proud to announce our progressive banking solutions tailored to the needs of decentralized companies, with already existing support from the leaders of the blockchain industry, including Binance and Neufund."
The supervisory board and management of the company include members who have worked at Barclays, JP Morgan, Deutsche Bank, the European Commission, the World Bank, Deloitte and the OECD. Neufund is a Berlin-based investment protocol for tokenizing and issuing securities. They offer a hybrid token model which allows any company to list equity tokens on a blockchain.