Singapore based investment entity Life.SREDA‘s digital banking imprint, Arival Bank, has just announced that it is a step closer to becoming the first licensed digital bank in the US. In addition to that, it is almost ready to begin beta testing its digital bank product and has, through an email newsletter, invited subscriber sign up to beta test the innovating new banking platform.
Targeted at previously ignored market segments, fintech, digital assets, and Gig economy participants, the completely digital bank has been over a year in the making. Co-founders, Vladislav Solodkiy, and Igor Pesin have put a great deal of effort into the project. Moving to the independent US territory of Puerto Rico (who’s banking system falls under the New York Federal Reserve’s jurisdiction) to begin the gruelling process of applying for an IFE (International Financial Entity) banking license, which will enable them to serve international clients.
“Our vision is to create the best digital bank for a new generation of businesses and entrepreneurs…Startups, e-residency businesses, crypto-related businesses, freelancers, charities, expats, refugees, and many others fall into this category. A big reason most banks don’t serve these customers is because they’re viewed as unusual and “abnormal”. This just in: abnormal is the new normal.” – states Arival banks email communication
Though Arival applied for the license in 2018, and is inching ever closer launch readiness, the issuance of the IFE license is not guaranteed, disclaims the bank. However, having painstakingly worked to develop a the next generation banking product, they expect to have the license in the next few months and begin on boarding new customers in the first quarter of 2020.
While incumbent banking entities, for a number of reasons, ignore digital asset and fintech firms, expats and entrepreneurs etc. Arival has been designed, from the ground up, to serve this segment. Though initially set to launch in the US, Europe and South East Asia, plans to offer its services globally, which could potentially make it a new age banking giant.
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