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 Cointelegraph 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.