The Liechtenstein Royal Family Believes Cryptocurrency To Be A Good Investment

Nuno Menezes

Lately, cryptocurrency has been getting a lot of attention from important figures like Bill Gates, Dr Erik Schmidt and Warren Buffet. Now it seems that the highest sphere of society is starting to show its interest as well. This time it is the Crown Prince of Liechtenstein that has publicly with his ambition to invest in digital currency.

Liechtenstein is a small European country where the official language is German and the population is less than 40,000 inhabitants. The principality is considered a tax haven and owes much of its wealth from this traditional status.

The head of state of this principality is S.A.S Prince Hans-Adams II, however, the power lies with his son, the inheriting prince Alois, who exerts the administration of the state with the title of Prince Regent.

The royal house of Liechtenstein suffered great losses after the Second World War and had its fortune severely deteriorated. The family was even forced to sell part of its art collection to cope with the hard times. Today, the fortune of Prince Hans-Adams II amounts to $3.9 Billion, making him one of the richest nobles in Europe.

The Prince said that blockchain and cryptocurrencies such as Bitcoin could be the perfect investment to help his family restore its wealth. The prince believes that while cryptocurrency is still "very risky" its underlying technology could also be used to improve the principality management.

Crown Prince Alois told CNBC:

"With this whole new digital economy, it is something to look into more into in the future, "Blockchain will change a lot of things, it could even help make our state more efficient the way it is administered."

Crown Prince Alois

Now, with the art collection largely recovered its and its finances better balanced the royal family is looking to invest in other asset classes, and cryptocurrencies like Bitcoin, even though considered to be a high risk asset class appeals to the Prince.

Alois admits he lacks the needed expertise to invest in cryptocurrencies but he is working on learning as much as possible to reduce the risk when investing.  The prince admitted he might consider going for a legal fund related to digital currency such as an Investment Fund.  

Last November, the first European investment fund designed to track the value of Bitcoin investments was launched in France by TOBAM Core Investments. This could well be an option for the prince. But for now, regulatory authorities (such as the US SEC) are still deciding on the numerous applicaticants of listed investment funds (ETFs) for cryptocurrencies, if accepted and ETF would provide a lower risk method for investors such as Prince Philip to gain exposure to this exciting new asset class.

Bitcoin Suisse Starts Letting Clients Trade Gold, Silver and Platinum

Swiss crypto broker Bitcoin Suisse has started letting its users trade gold, silver, and platinum against the top two cryptocurrencies bitcoin and ether, as well as against fiat currencies.

According to an announcement the firm published, its clients can now trade gold, silver, and platinum 24/7 with immediate cash settlement. Bitcoin Suisse touts clients now have a greater choice of strong assets to build up a diversified portfolio using its platform, providing them with options in times of high market volatility.

Bitcoin Suisse rolled out its 24/7 trading of fiat currencies late last month, and added in its recent announcement that with precious metals users have access to assets that have been long used in investment strategies. Bitcoin Suisse’s head of trading and liquidity, Stefan Lütolf, added:

Recent developments have boosted the demand for scarce, highly valuable assets such as gold and Bitcoin. Bitcoin may not be Gold 2.0, yet. In the meantime, we want to give our clients the maximum choice possible.

The precious metals trading pairs are being offered to all of Bitcoin Suisse’s clients, with a minimum purchase requirement of 100 CHF (around $103), and with no custody fees for up to 100,000 CHF ($103,000).

Gold, silver, and platinum can be traded n the platform against BTC and ETH, and against major fiat currencies like the CHF, USD, GBP, EUR, and DKK. Precious metals trades are settled immediately for fiat currencies with a two-day lapse. The firm’s statement reads:

Even with increased access in recent years, the possibility of combining precious metal investments with so-called “digital gold” (Bitcoin) remains difficult. Now Bitcoin Suisse is helping to change this.

It’s worth noting that with cryptocurrency exchange Vaultoro users could already trade the flagship cryptocurrency for physical gold. The gold users buy using Vaultoro is then stored in the client’s name in high-security vaults in Switzerland.

Featured image by Dmitry Demidko on Unsplash