Financial blockchain company Finom AG today announced it has become the first company in the world to increase its stock capital by such an unprecedented level of Ether (ETH) at 7,760 - the second most popular cryptocurrency. Finom's capital stock now comprises 2.5 million Swiss Francs (CHF). The funding is registered in the Finom profile on the Swiss Commercial Register Zefix. This marks the first time a cryptocurrency has been registered as stock capital of a business in Switzerland's Appenzell-Ausserrhoden canton.
Stock capital refers to money or property contributed by stockholders to found a business, and guarantees the insured minimum required for settling accounts with suppliers. Finom officially booked the Ethereum wallet with 7,760 ETH as a non-material asset of the company. This has resulted in the stock capital growing from 0.1 to 2.5 million CHF. The resulting amount is seven times higher than the stock capital of JSC LukOil and 1.6 times higher than that of X5 Retail Group.
"At Finom, we are interested in bringing blockchain to the masses and legitimizing cryptocurrency as a form of stock capital in an innovative manner," said Denis Suslov, Chief Financial Officer at Finom. "This alternative stock capital is fully in alignment with current legislation on taxation. An independent auditor registers the value of the assets in the wallet under the company's control in its fiat equivalent according to the current exchange rate. Thus, cryptocurrency contributes to the stock capital."
Finom is a financial blockchain corporation grown out of five companies serving over half a million users: Nanopool, TabTrader, Cryptonit, Cryptal, and Beetle.io. The project releases both a security token (FIN) and a utility token (NOM). The FIN token is being issued pursuant to Regulation D of the U.S. Securities Act of 1933. Its holders will be able to receive dividends and vote as traditional stockholders do. Finom's token sale closes December 30, 2017 with a goal of attracting $102 million.
The Finom ecosystem is designed to eventually facilitate financial operations including banking integration and payments processing. The company plans to introduce cryptocurrency wallets with linked debit cards next year, and to launch a cryptocurrency bank with a network of terminals by 2020.