The Swiss Financial Market Supervisory Authority (FINMA) has informed the cryptocurrency trading platform Bitcoin Suisse that its application for a banking license has an “unfavorable prognosis” that it does not consider approvable.
Bitcoin Suisse had already submitted an application for a banking license in 2019.
In a statement by FINMA: “Various elements that are relevant to licensing law make it unlikely that a license will be granted. Among other things, there are indications of weaknesses in the defense mechanisms of money laundering. “
After this decision, Bitcoin Suisse AG informed FINMA that it was withdrawing the application causing the Swiss regulatory authority to terminate the approval process.
Bitcoin Suisse is a financial intermediary based in Zug that specializes in the cryptocurrency business. The company is not supervised by FINMA, but is subject to the supervision of a self-regulatory organization to combat money laundering.
Bitcoin Suisse had previously secured CHF 45 million during its Series A funding round and claimed to increase its valuation to CHF 302.5 million.