Forbes.com pointed out that Bankhaus Scheich wants to clean the blacklisted cryptos. It has already cleaned and sold about € 150 million worth of unclean digital assets for the state of Hesse.
Bankhaus Scheich, in partnership with the German Federal police and FBI, the state of Hesse seized almost € 46 million worth of bitcoin and another cryptocurrency from 2 servers that they believe are responsible for laundering $ 700 million.
According to Nils von Schoenaich-Carolath, Bankhaus Scheich’s managing director of digital assets, two other states signed deals similar to the state of Hesse’s in the past month. He further said that other German states are now exploring similar services. The U.S. banks with cryptocurrency exposure are facing an existential threat. This is in the wake of the bankruptcy of crypto exchange giant FTX. Bankhaus Scheich’s CEO, Wolfgang Beck, sees his firm’s work as an example of how clear regulations and some innovative banking practices can potentially upgrade financial infrastructure while protecting users.
About Bankhaus Scheich
Bankhaus Scheich was started in the year 1985 in Germany. It is, at present, one of the leading specialists on the Frankfurt Stock Exchange. It is also one of the 1st regulated institutions in the sector of digital assets. The Bankhaus Scheich is also active as a market maker in fixed-income, securities, equities, and digital assets.
The Bankhaus Scheich helps its clients to achieve their investment objectives. It includes asset banks, managers, FinTechs, hedge funds, family offices, broker-dealers, and pension funds.
Why is crypto vulnerable?
There has always been a potential for fraud and theft with crypto. Some cryptocurrencies are legitimate, but there is the potential for fraud. Plus, because cryptos are very trendy and new, many investment schemes surround these cryptocurrencies.
Now, what makes cryptocurrencies controversial? At present, cryptos present some challenges to government authorities. Cryptos cannot be regulated; it is a decentralized system, so criminals can easily use them. As a result, the crypto world is yet to mature. Until then, established authorities will continue to view it with doubts and distrust.
So, cryptocurrencies have huge price volatility. There can be problems and issues that are related to crypto transactions. This is especially true because cryptocurrency prices keep changing. The value of cryptos goes up and down each day. So, tracking its record in the crypto market can be challenging.