The bank is a full-reserve bank and intends to service the needs of the Gelephu Mindfulness City Special Administrative Region (SAR) in the kingdom:
The Himalayan kingdom of Bhutan now boasts of a full-reserve digital bank, which is Asia’s first. ORO Bank is a cloud-first, digitally powered online banking institution launched in May 2024 to ‘serve the Gelephu Mindfulness City Special Administrative Region (SAR), a new strategic initiative announced by the King of Bhutan. SAR is essentially a 1000-sq. km economic center in South Bhutan aimed at integrating cultural preservation, equitable economic growth, good governance and environmental sustainability.
FULLY BACKED DEPOSITS
ORO Bank guarantees that customer deposits are fully backed by 100% corresponding reserves, thereby motivating new entrepreneurs. The bank holds the full amount of each depositors’ funds in reserve and does not lend it out. It makes money by offering other services or interest yielding long term deposits.
The bank plans to integrate the yield-generating savings accounts and investment products, offering customers the voluntary option to lock their funds for yields, through which it will charge a small fee.
According to the CEO of the bank Mike Kayamori, the bank’s mission is ‘to enable personal, corporate and financial growth in an environmentally, socially and economically sustainable manner.’ The bank, he says, aspires to be the preferred bank for global startups and innovative emerging businesses.
ORO Bank provides banking and financial services to entities located in Gelephu Mindfulness City, facilitating financial transactions between international and local entities doing business with entities located in the City, and providing banking services to international individual or corporate customers who align with the values of the Gelephu Mindfulness City.
In the process, Mike says the bank will support the growth and development of the Gelephu Mindfulness City, helping to generate economic activity for Bhutan and employment for Bhutanese citizens.
He says the bank is designed for digital-savvy people globally.
USUAL BANKING PRODUCTS
The bank offers Current and Savings Accounts as part of its transaction banking offering. Customers are also able to invest in products that generate returns in a similar manner to other global banks.
ORO Bank’s technology partners include Finastra, which is providing the core banking system technology, and several other best-in-class technology service providers. It uses Finastra Essence in the cloud, which allows it to have SaaS core banking solution and launch its products to global markets within 6 months.
CHOOSY ABOUT CUSTOMERS
The bank is choosy about its customers. It says it welcomes deposits from firms/enterprises in domains such as internet/fintech, bio-tech/health-tech, AI/Deep Tech, Blockchain/Web 3, ESG Enablers/Climate Tech, Content Creators/Influencers, Institutional Investors/Investment Funds/Family Office etc.
This aligns with the principles of Mindfulness City, which welcomes startups and established businesses that have the potential to develop Bhutan’s economy, provide employment opportunities for Bhutanese youth, and serve as bridges between the Mindfulness City and the rest of the world.
The bank now accepts 9 international currencies – US$, Euro, Yen, Pound, Swiss franc, HK$, Singapore$ and Yuan. This list is set to expand soon.
Mike says the bank is using cutting-edge technologies such as AI and therefore it is capable to offering a wide range of banking services, governed by strict KYC and AML protocols.
Some of the features that the bank claims it has by using the latest technology are same day approval – as fast as 30 seconds for individuals and 3 hours for businesses, supporting IDs from 220 + countries and territories, direct check access to government databases for India, Indonesia, Nigeria, Brazil, and Argentina.
CLAIMS BY ORO BANK:
There are no account opening or maintenance fees, no minimum balance, no overdraft or returned wires fee. It may charge small fees for future investment products or value-added services;
- Instant O-Net transactions and rapid international transfers;
- Deposits are always 100% available to the depositors and are never used for lending or investments;
- The bank is compliant with global guidelines, ensuring the money invested in the bank is always handled responsibly and securely;
- Multi-currency accounts can always be transferred between different currency accounts seamlessly;
- The bank is regulated by the Royal Monetary Authority of Bhutan.
Why ORO?
ORO is the national bird of Bhutan and symbolizes divine guidance and protection for the country. ORO also means gold in Latin. The bank says this dual symbolism emphasizes its commitment to intelligence, guardianship and the enduring value that it strives to provide to its customers.
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