Puerto Rico Witnesses New Crypto Bank Receive First Client Deposit

San Juan Mercantile Exchange (SJMX), popular Puerto Rico-based cryptocurrency trading platform, has introduced banking operations through a new offshoot firm.

SJMX, which operates as a membership oriented exchange for cryptocurrency asset traders, is looking at the possibility of widening its range services for institutional investors.

The unique venture, named San Juan Mercantile Bank & Trust International (SJMBT), was awarded a banking license from Puerto Rican financial regulators in March.

Following the acceptance of first deposit, the bank has signaled its readiness to start serving institutional clients with an overall package of services that suit their trading requirements.

Commenting on the service, Nick Varelakis, SJMBT president and chief operating officer said

“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 has arrived at a time when institutional services related to cryptocurrencies are made available worldwide. In Hong Kong, BC Group has also launched insured crypto custody solution, the first of its kind in Asia.

In the US, institutional entry in the cryptocurrency market continues to be delayed due to uncertainty in regulations and unanticipated delays in crypto services such as the launch of Bakkt platform. The venture, initially planned for launch in November, has seen several setbacks.