Cryptocurrency exchange Bitfinex is all set to relocate and has been considering Switzerland as a potential new country to set up base.
Bitfinex, which according to Coinmarketcap is the fifth largest crypto exchange by 24-hour trading volume, is currently based in Hong Kong; however, it is now looking at both London and Switzerland as potential new homes, with the latter being the top choice.
Switzerland has established itself as a major crypto hub, with multiple crypto companies (including Ethereum) having set up base in the town of Zug, which has been dubbed the “crypto valley”.
According to sources, Bitfinex is already in talks with Swiss authorities, and has met the State Secretariat for International Finance SIF and the Federal Councilor Johann Schneider-Ammann (head of the Economic Department of Switzerland).
Speaking to Swiss publication Handelszeitung, Bitfinex CEO Jean-Louis van der Velde said:
“We are looking for a new home for Bitfinex and the parent company iFinex, where we want to merge the operations previously spread over several locations.”
The move will result in the formation of a new public company to replace the former parent company iFinex in the British Virgin Islands. All departments (legal, financial, and technical) and the current management team will also settle in and operate from Switzerland.
iFinex is also the parent company of Tether, creators of USDT – a crypto token pegged to the U.S. dollar. Owing to the lack of an external audit, both Tether and Bitfinex have a shadowy reputation and questions persist about whether the tethers issued are actually backed by fiat. In addition, both companies have been cut off from US and Taiwanese banks, leaving unanswered questions about where they are currently holding deposits.
However, Bitfinex appears all set to turn their reputation around with the move to Switzerland; according to CEO van der Velde:
“We want to be the most transparent of all exchanges and meet the requirements of the Swiss regulator.”
This article appeared first on Cryptovest
