Amun AG, a Fintech startup based in Switzerland, recently announced that it had received approval from the Swedish Financial Supervisory Authority. This approval will allow the startup to offer its services throughout the EU.
Thus far, Amun AG has only been able to offer crypto exchange-traded products in Germany and Switzerland. However, the approval by the Swedish financial regulator will allow it to expand into the EU. Amun AG will be able to apply for listings of the ETPs on regulated exchanges across the EU, expanding its customer base.
According to Ophelia Snyder, who is the president of the firm said that the firm will remain true to its mission of helping investors invest in the crypto market is a safe and secure manner. Besides that, it intends to continue on its mission of making it cost-effective and easy to diversify into crypto asset classes via ETPs. She revealed that the process of getting approval by Swedish regulators only took four months.
Why was Amun AG so interested in expanding into this geographic region? According to Ophelia, the regulatory framework in the country has been supportive of initiatives in the crypto sector. She added that the combination of a growing demand for ETPs in the country coupled with their expertise in this sector had created the perfect condition for Amun’s foray into Sweden and the wide EU ETP market.
The company’s CEO expects the company to have listed its ETPs on at least three EU exchanges by the end of 2020. She added that the company controls about $55 million worth of assets. Amun plans to increase this by about $20 million from its EU expansion. She revealed that they have ambitions beyond the EU and reach a global customer base.
The company has 28 employees thus far but this could expand as they expand into the EU. Currently, Amum offers nine crypto ETPs. They include a BNB ETP, which was added in October. Also in their arsenal includes ETH, BTC, and XRP ETPs. Its ETPs are currently only available in Germany and Switzerland on the BX Swiss, Boerse Stuttgart, and the SIX Swiss exchanges.
What This Means for Crypto
The regulatory approval is positive for the crypto sector in general. It will allow major investors to access the crypto asset class. It’s also a positive sign that the EU is embracing the crypto sector. Depending on how it pans out, it could encourage regulators in the EU and the rest of the world to take a more positive stance towards crypto. The EU is a major player in the global economy and any positive developments for the crypto sector there will no doubt bode well for the crypto sector in general.
It is worth emphasizing that ETPs are complex investment product. The approval by the Swedish financial regulator is not an endorsement of Amun AG. As a result, those planning to invest in crypto ETPS need to take time and understand how they work before making any major investment.
Image Source: Amun Twitter