Peter Schiff has sold his bank to U.S. company that plans to expand its use in Puerto Rico
Vocal Bitcoin opponent Peter Schiff, CEO of Euro Pacific Bank, has tweeted that his deal on selling his bank is over. This happened after, earlier this summer, he agreed to sell the bank and accept Bitcoin as payment for it.
The U.S. company that intended to buy my bank and greatly expand its operations in Puerto Rico, has acquired virtually all of its assets out of receivership instead. Customer’s deposits will now be moved to its wholly owned subsidiary in Dubai, UAE.https://t.co/uoSUISaUS5
— Peter Schiff (@PeterSchiff) September 9, 2022
The article has been updated, in accordance with Peter Schiff’s comment in a recent tweet:
At one point as a joke I Tweeted that if regulators would allow me to sell the bank, I would even accept payment in Bitcoin. They didn’t.
Schiff sells bank’s assets
Schiff took to Twitter to announce that he has managed to sell his bank – but not quite in the way he planned. Instead of a total sale to Texas-based Qenta fintech company, the firm has acquired all of Euro Pacific’s assets from its receivership.
Clients’ deposits will be shifted to Qenta’s subsidiary in the UAE. Initially, Qenta planned to acquire the troubled bank and “greatly expand its operations in Puerto Rico.”
In a tweet on July 9, he confessed that he was even prepared to accept the leading cryptocurrency, Bitcoin, as payment for his bank if Puerto Rican regulators approved the deal. The foremost task for him is to protect his clients. However, today Schiff did not mention whether he got paid in Bitcoin.
Schiff’s bank in legal trouble
As reported by U.Today earlier, the operations of Euro Pacific Bank run by Peter Schiff were suspended as it failed to comply with the requirements of the local law in Puerto Rico regarding the net minimum capital held in the bank.
In connection with that, customers’ accounts were frozen. Besides, regulators wanted to shut the bank down over tax evasion and money laundering accusations, while no evidence of either crime was spotted.
Schiff did admit, though, that his bank was new to the country and did not hold the minimum amount of money required by the law. Thus, it was costing Schiff a lot of money to run, with hardly any profits coming from it.