Swiss bank proposes to invest in Bitcoin
In Switzerland, a bank is involved in the world. Rich customers are offering investment with Bitcoin. As of Wednesday, investors will be able to ask the asset manager at Falcon Private Bank, a boutique investment bank in Zurich, to buy and store Bitcoin, a first for traditional banks, on their behalf.
"We have diverse customers who are considering buying crypt money for investment and we make them very affordable for them," says Arthur Vayloyan, General Manager of Falcon Private Bank Global Products and Services. Falcon Private Bank will not need any specialists to turn their customers' cash into bit-mismatches as they will buy and store digital funds. The financial authority of Switzerland, FINMA, gave the bank legal approval on Tuesday.
Banks will become the target
But some are worried that people may have taken the importance of localizing digital money. Traditional banks that hold a large amount of bitcoins for their customers will be clear targets for hackers. Andreas Antonopoulos, the host of the "Let's Talk Bitcoin podcast" program says, "Crypto money is easier to play than traditional currency."
Antonopoulos said, "That's why it's so important to have centralized ademisation." In fact, Bitcoin is based on centuries of education. Instead of central banks and governments, Bitcoin uses an accessible computer network to control the legitimacy of transactions. Each Bitcoin is accounted for on a notebook called blockchain, which shows how much money each digital purse holds.
When the currency changes, everyone on the network updates the block chain copy. Supporting the whole system is complex mathematics that makes it extremely difficult to deceive or audit without the power to do any amount of computing power.
The wallets are also far from the center. Instead of bank accounts, everyone can create and store their own crypto currency wallet. Since there is no centralized collection of wallets, there is no central goal of hackers trying to steal high amounts of digital money. Keeping many purses in the same place can be quite inconvenient. However, if you buy from one place to a thousand, you increase the interest of hackers a thousand times, which in turn means you need to increase security in a similar way. "But there is no way you can do this," says Antonopoulos, "you make the basket weaker by putting more eggs."
Hacking attack
This problem has previously been seen in shopping centers where people shop with different digital and traditional currencies. The largest of them, until 2014, was a hacker attack called the Gox Mountain, which carried out most of the half of all bitmint transactions. In February of that year, it was thought that 450 bitcoins were played at most, and 850 thousand bitcoins corresponding to 450 million dollars were lost at that time.
Only a few years ago, many conventional banks had decided that crypto money had failed, but as the price continued to rise and survive, the interest of the investors became attractive within the banks. .
Falcon Private Bank will have to sign a waiver to show investors that they choose the bitco to show that they are aware of the risks, such as with other high risk investments. In the future, the bank plans to expand other digital currencies.
soyrce: megadosya
Very informative article, thanks.
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