Namaste Yogis. Welcome to the Blockchain & AI Forum, where your technology questions are answered! Here no question is too mundane. As a bonus, a proverb is also included. Today’s question, was submitted by Ramonita, and she wants to know if there are crypto friendly banks in Panama?
Ramonita, you came to the right place. I suppose you ask because you own crypto assets and want options beyond American banks. The short answer is yes, Panama does have crypto friendly banks. Rather than listing all crypto friendly banks in Panama, I’ll focus on one example, Tower Bank, and give you plenty of details. Before revealing all the amazing crypto friendly features Tower Bank offers, let’s step back and understand the banking context in Panama.
Panama is a major international banking power. Although Panama has a population of only 4M, you will find 79 unique banks! By comparison, Puerto Rico with a population of 3.2M, has only three. You might say Panamanian banking punches above its weight, just like the former Panamanian boxing champion, Roberto Duran. Look at the Panama City skyline on a video, and you will view dozens of bank logos on giant skyscrapers. Why is Panama a banking giant, you ask? Consider the following.
First, banking in Panama is tied to international trade and Panama Canal. Ships coming and going need financing as do countless logistics companies, freight forwarding, etc. Panama is also an important offshore banking center for wealthy South and Central American citizens, (and others) e.g., Venezuela, Colombia, Argentina, etc. looking to protect financial assets and diversify their banking. Third, Panama is a dollar-based economy, meaning their currency is the U.S. dollar. The U.S. dollar remains the world’s reserve currency, therefore currency risk is reduced. Banking safety entices customers. For instance, since 2000 there have been only three bank failures in Panama compared to hundreds in the USA. As you know, banking is a major driver of economic prosperity in Panama, consequently Panama has cultivated and nurtured talented bankers and regulators with plenty of high-level experience, regulatory stability, and excellent reputation. Last, Panama is a banking and finance innovator. Now we examine the next evolution of banking by highlighting a crypto friendly Panamanian bank, Tower Bank.
Tower Bank considers itself a bridge between two worlds–crypto and traditional banking. At Tower Bank, regardless of your nationality (so they say) you can open a bank account in dollars and crypto. (By the way, I’ll test their claim next month while in Panama.) According to Tower Bank, a client can:
- quickly buy, sell, or convert stable coins, Bitcoin, and Ethereum (ETH) into dollars; or vice-versa
- buy crypto currencies on numerous exchanges without commissions
- make free crypto deposits/withdraws from any ATM in Panama
Tower Bank understands crypto fans demand greater autonomy over their assets and has responded with their Ikigii product.
Ikigii is the name of Tower Bank’s crypto wallet. With Ikigii, Tower Bank clients can buy and sell crypto; send and receive crypto, and execute banking transactions, including ACH, transfers, payments, etc. Using Ikigii, customers can send/receive crypto from their external wallets to their Ikigii wallet. With Ikigii, Tower customers can enjoy the best of both worlds. They can move their crypto assets on an external wallet (Ikigii) or maintain the assets at the bank!
Time to go but not before I leave you with this proverb from Panama where they say: “a tree that is born crooked will never straighten its trunk”.
Until Next Time,
Yogi Nelson
Blockchain & AI Forum 