Puerto Rico Sees New Crypto Bank Accept First Client Deposit

Puerto Rico-based cryptocurrency trading platform San Juan Mercantile Exchange (SJMX) has launched banking operations via a new subsidiary, the company announced in a press release on April 2.

SJMX, which exists as a membership-based exchange for digital asset traders, is seeking to expand the scope of its operations for institutional investors.

The new venture, dubbed San Juan Mercantile Bank & Trust International (SJMBT), received a banking license from Puerto Rican regulators last month.

With the receipt of its first deposit, the bank is now officially open for business, offering institutional clients more of an all-round package of services for their trading needs.

“Commencing SJMBT banking operations is a significant milestone,” SJMBT president and chief operating officer, Nick Varelakis, commented in the press release. He added:

“Institutional market participants in the digital asset space now have access to a licensed, fully regulated and operational banking partner that provides a secure environment for the matching and settlement of digital asset trades.”

The news comes on the back of rapid expansion of institutional services worldwide. As  reported earlier Tuesday, Hong Kong-based BC Group has also launched Asia’s first insured crypto custody solution.

Market sentiment over institutional investor entry remains mixed as United States regulators continue to mull long-delayed offerings, such as trading platform Bakkt. Originally slated for November, the project has seen multiple setbacks, while authorities say they are addressing the application, and others like it, as a matter of urgency.

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