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  • Binance CEO, Changpeng Zhao said last week that the company is expecting profit between $500 million to $1 billion.
  • Founders Bank must seek a license from the Maltese authorities and approval from the European Central Bank.

According to a report published on Bloomberg, the largest cryptocurrency exchange in the world, Binance is considering opening a bank in crypto-friendly Malta. However, the bank ownership comes with a slight twist in that it will be fully owned by the investors in the cryptocurrency industry.

Malta has become the cryptocurrency haven in a world where many countries have no idea what to do with digital assets. Binance relocated most of its operations earlier in the year to Malta. The intended, Founders Bank will have its base in crypto-progressive Malta and Bloomberg reports that Binance has taken a five percent stake while other supporting investors have staked $155 million (pre-money valuation).

The industry is yearning for a strong bridge to connect the crypto world with the trading financial sector. This explains why Binance is working hard to bridge this gap. The CEO of the exchange company, Changpeng Zhao had announced in the previous week that the company is expecting to record a profit of over $500 million to $1 billion this year.

Binance is working together with various promoters to transform the Founders Bank startup to become the “world’s first decentralized and community-owned bank.” But first, the project must acquire the permits to run such a venture. The bank is going to raise capital by issuing blockchain-based equity tokens that are legally binding on a platform referred to as Neufund. Aside from the license to be issued by the Maltese authorities another approval from the European Central bank is needed to start operations. Commenting on the project, Silvio Schembri from the office of the Prime Minister in Malta said, “We are honored to be chosen as the location of the first global community-owned bank,”