Many excellent jurisdictions will be available upon launch, with many others being added over time. The Bank Accounts Marketplace also offers unprecedented convenience, as the application is submitted digitally through the Wallet. Additionally, the know your customer (KYC) process is expedited by the ESelfKey ID. As a result, this may well be the world’s fastest application for a bank account. 

Here’s how to get started:

How to open a bank account using the Bank Accounts Marketplace?

We specifically designed the user experience to be as simple as possible. This should help create transparency and clarity as to the requirements, documentation and cost associated with opening a bank account abroad through the ESelfKey Marketplace. 

Step #1: Download the Wallet

The ESelfKey Identity Wallet is free, open-source and designed keep your tokens safe. That being said, it’s much more than a simple cryptocurrency wallet. Instead it allows you to manage your identification documents and even provides access to the Self!Key Marketplace. 

Head over to this page and download the wallet on Windows, Linux and MAC. It’s free and light-weight, meaning you’ll thoroughly enjoy using it. Of course, you own your private keys and can even access the Wallet using Ledger and Trezor.

Step #2: Set up your Wallet

Setting up your wallet couldn’t be easier, but it’s a very important step so make sure you do it correctly. The first thing you need to do is securely store your public and private keys. As a non-custodial Wallet, ESelfKey cannot recover your private key so make sure you don’t lose it. 

Step #3: Complete your ESelfKey ID

Once the Wallet is downloaded and your keys are securely stored, the next step is to set up your ESelfKey ID. This is a collection of locally stored "know your customer" information used to quickly access new service providers. Thanks to the ESelfKey ID you can reuse the same KYC data multiple times. Instead of having to go through many different sign up processes within the Marketplace, you simply complete your ESelfKey ID once and then use it whenever you need it.

As a result, if you want to open multiple bank accounts abroad, you simply complete your ESelfKey ID once and then use it for all registrations.

Step #4: Select your preferred bank account

Now that your ESelfKey ID is set up it’s time to head to the ESelfKey Marketplace and check out the different bank accounts on offer. When logged into the Wallet, click on the Menu in the top right of your screen and select “Marketplace”. 

Six different Marketplaces should appear now with one clearly being for bank accounts. Click on the button to see a screen similar to this one: 

The jurisdictions shown above are simply for illustrative purposes, but you should see a number of different bank accounts available all over the world.

To learn more about each, make sure to click on “Details” and peruse the individual listing pages. We’ve endeavoured to give you all the relevant information, but please make sure to do your own research as well. 

Below you can see an example for Singapore: 

Here you will find the costs, eligibility criteria, KYC requirements and all other miscellaneous conditions as well as benefits.  

Step #5: Submit your request

Once you’ve found your preferred bank account it’s time to submit your request. Doing this is incredibly easy. Simply click on the “Open Bank Account” button on the top right of the screen. Next you will see a screen detailing exactly what is included in the service provided. 

To continue click on the blue “PAY FEE” button. Next you will see a checklist detailing the required KYC documentation for the chosen bank account. Thanks to your completed ESelfKey ID, this information is pulled directly from your ESelfKey Identity wallet, and can be used again for all other services within the ESelfKey Marketplace.

If all the required information is provided, the following screen checks your ESelfKey wallet to ensure that enough funds are available to make the purchase. If the funds are in the Wallet your request is submitted. Voila, you just applied for a bank account from within a cryptocurrency wallet. 

Step #6: Handing in additional information and/or visiting the bank

Congratulations, you’ve successfully submitted your request to the bank of your choosing. In the following days you will receive email communication updating you on the status of your application. All jurisdictions have slightly different vetting processes so additional data or clarification may be needed. 

Why should you open a bank account abroad?

As we can see opening a bank account through the ESelfKey Marketplace will be fast and easy, but you may well be asking what the advantages are compared to new online services like Transferwise and Revolut. To answer these questions, we’ve provided a detailed explanation of 10 excellent reasons to open a bank account abroad, where we explain some of the crucial differences.

For now it’s worth knowing that a bank account: 

1. Allows you to earn interest on your deposits - Europe, the US and many other countries are experiencing a low-interest environment in which deposits typically lose money due to inflation. Other countries - like Georgia and Azerbaijan - on the other hand offer as much as 7% return on your deposits (ie. after inflation). As a result, a foreign bank account can really help you to accumulate wealth in a smart yet passive way.
2. Guarantees your money’s safety - In turbulent times it is crucial to protect your wealth from unforeseen catastrophes. Using online banks, like the ones mentioned above, you are actually not a client of a bank, but instead only have a business relationship with the Electronic Money Institution. That means that important government schemes designed to protect your money - like the Financial Services Compensation Scheme (FSCS) - do not apply to you. By keeping your money in a real bank account you add an extra layer of safety and protect yourself from economic disasters. 
3. Makes it easier to rent or buy a local property - Having a bank account in a given jurisdiction makes it much easier to live there. Renting or even buying property typically involves a credit check which, in many cases, requires a nationally recognized bank account to complete. Therefore, if you are planning on moving or just want to keep that option open, you’ll make things much easier with a bank account in your chosen country. 
4. Spreads your currency risk - Individuals with their wealth tied up in the GBP have seen their value decline by 5% over the last two months. Since Brexit was announced and the prospect of a hard Brexit looms large, the Pound has been in free fall. Fiat currencies, whether it’s the GBP, the Venezuelan Bolivar or the Turkish Lira have experienced significant, long-term decline. Spreading your wealth across multiple safe currencies within foreign bank accounts mitigates this risk.
5. Allows you to access a more stable banking system - The strength of national banking institutions varies significantly from country to country and is subject to change over time. In Germany for example, a country with a historically robust finance sector, Deutsche Bank has been forced to pay massive fines for failing to comply with Anti-Money Laundering legislation. As a result the German banking system is looking rather frail compared to the banks in Singapore for example. Again, a foreign bank account allows you to mitigate risk by reducing dependency on one institution or region. 
6. Enables faster and cheaper transactions - If you are planning on doing business abroad, having a bank account in that country has significant benefits. Typical international wire transfers take five business days and cost up to $45. Domestic wire transfers on the other hand typically take 1-2 business days and cost significantly less. Therefore, if you’re planning on doing business abroad, owning a bank account in that country has significant cost advantages. 

Conclusion - Opening a bank account from within the ESelfKey Marketplace

The upcoming ESelfKey Bank Accounts Marketplace represents a milestone, not just in ESelfKey’s history, but also for the blockchain space. Cryptocurrency was first created as an antithesis to banks, but it is clear that a synergy is needed. 

Yes, Banks are archaic but they are here to stay and innovation is at its best when it marries the old with the new. ESelfKey’s upcoming Bank Accounts Marketplace makes foreign bank accounts available to those who would not otherwise have access to them. 

Moreover, the application process is so streamlined and easy that it can be completed in a matter of minutes. In a world in which opening a typical bank account takes roughly two hours, this added convenience alone is worth getting excited about.

Download the Wallet today and be the first to use the Bank Accounts Marketplace once it goes live.

The truth is that for short trips or small transactions these services work well. For longer stays or more sophisticated usage however both fall short, as many ordinary banking services are not included. Neither for example provide interest rates, loans or even safety guarantees.

That’s just the tip of the iceberg, here are ten excellent reasons to open an Offshore Bank Account:

1. Maximise Your Freedom

We should be free to live our lives without being dependent on faceless corporations and governments that do not have our best interests at heart. This belief is why ESelfKey’s mission is to empower individuals. 

That being said, Banks still hold a position of power in modern society and can make life difficult. Therefore it makes sense to maximize your freedom by opening a bank account abroad. This will significantly reduce your dependence on your local bank, and gives you much more flexibility in the long-term. 

In addition to an offshore bank account, it also makes sense to look at digital assets as an interesting solution. Cryptocurrency represents a significant shift which allows everyone with an internet connection to operate as their own bank. By creating a ESelfKey wallet for example, you can send and receive payments almost for free, without having to worry if your Bank might shut down your account or your government might enact a nonsensical piece of legislation. Thanks to third party service providers it is now even possible for business owners to pay their team members in KEY and other ERC20 tokens. 

The more freedom you have the better - which is why a foreign bank account and digital asset wallet makes a lot of sense.

2. Earn Interest On Your Deposits

Europe and many other socio-economic regions have experienced a low-interest environment for years. Individuals are punished for holding money and instead are incentivized to spend. The interest rates offered by a typical savings account do not beat inflation making it unattractive to save.

Foreign bank accounts provide an attractive alternative. Countries like Azerbaijan and Georgia offer interest rates on savings accounts north of 7%. This includes inflation, meaning that you can reasonably expect the purchasing power of savings to increase by 7% or more within 12 months of making your deposit. 

Of course, this is not guaranteed and you need to do your own research. Undoubtedly however, many foreign countries offer more attractive interest rates than those found in the Western World. 

3. Access A More Stable Banking System

The stability and strength of your banking system depends on many factors - not all of which are clearly discernible. Two things to keep in mind are: 

1. The track record of local banks 
2. The risk from immediate threats

The first point refers to the infrastructure and history of your local banking system. Newly created institutions are more likely to make mistakes and fold, than banks with a strong track record. 

Additionally, you might live in an area in which banking is not particularly common - 31% of the world’s adults are underbanked. In such cases, a foreign bank account can not only protect you from a weak domestic system but can give access to a host of powerful financial instruments capable of improving your quality of life. 

The second point mentioned above affects all of us. Previously sound financial institutions can collapse without prior warning. Lehman Brothers, the bank that caused the global financial crisis and subsequently folded, was founded in 1850 - nobody identified the immediate risk coming from subprime mortgages. 

More recently, Deutsche Bank and Swedbank were forced to pay massive fines due their failed AML practices. Here, perhaps, we can identify an immediate threat before it wreaks havoc on a previously stable banking system. Regardless of the outcome, an offshore bank account can mitigate the risk and allow access to a more robust financial system.

4. Reduce Your Risk

The global financial crisis taught us that the international banking system is frail. All it takes is for one bank - like Lehman Brothers - to collapse for the entire network to be imperiled. 

In 2007, the crisis began with the collapse of the subprime mortgage market, something that nobody saw coming. In the following years the western banking system was in grave difficulty and only survived by the skin of its teeth. 

Economic collapse is not limited to the Western world. According to the IMF, Venezuela’s inflation rate is projected to reach 10,000,000% in 2019 - which would not only precipitate the total collapse of the economy but of the banking system as well.  

Clearly not all banks are created equal and a foreign bank account allows you to hedge against a collapsing local economy. 

Interestingly, online “banks” pose an even greater risk due to their lack of accountability to the individual. N26 and others routinely close hundreds of user accounts without prior warning or explanation. Clearly the idea of waking up to find your bank account - on which you rely to pay bills and receive salary - locked is a terrifying proposition. 

Instead, open a bank account abroad to reduce risk and minimise your dependence on one financial institution. 

6. Diversify Your Currency

Limiting your personal wealth to one currency is risky. Prices are not stable and are typically volatile in times of economic or political turmoil. Below you can see the GBP/EUR exchange rate over the last five years, which clearly shows the significant losses the Pound has had to endure. 

As uncertainty over Brexit grows, experts believe that the price will decline further.In this case vast personal fortunes can be eaten up by the mistakes and mismanagement from local government. 

To mitigate risk, it makes sense to open an offshore bank account which allows you to store some percentage of your wealth in another currency. 

7. Rent Or Buy A Local Property

Another advantage of a foreign bank account is that it can be used to rent or buy property. Most countries require a tenant or landlord to have a local bank account. In Germany for example, it is not possible to rent property without a comprehensive credit check which requires a bank account within Germany. 

In order to maximise freedom, it is essential that we are not bound to one geographic location. Instead, a foreign bank account allows you to take a meaningful step towards moving and living wherever you choose.

8. Get Paid More Quickly

For business owners a foreign bank account often makes sense because it removes the friction of international payments. Domestic wire transfers can be completed in just 24 hours, whereas international wire transfers can take up to five business days. 

If your selling goods and services it doesn’t make sense to wait 5 business days until the money has reached your account. Such a delay ruins your customer experience and clients will surely look elsewhere. 

Instead, think about where the bulk of your customers are based and register for a bank account in that jurisdiction. Not only will it significantly boost your cash flow but it will also reduce fees. 

9. Avoid Costly Transaction Fees

As you will be aware, Banks charge for outgoing and incoming wire transfers. Fees can easily surpass $30, making it incredibly expensive to transact with international recipients. According to NerdWallet the median fee for an international outgoing wire transfer is $45 which is simply ridiculous. 

In a time of cryptocurrency and the world wide web, sending and receiving money should be no more expensive than sending an email. Unfortunately, digital assets have not reached the mainstream yet so a foreign bank account is often the best alternative. 

Domestic wire transfers cost roughly half of the international equivalent, which can amount to a significant sum of money for businesses servicing a global client base. Open a bank account abroad to cut down on fees.

10. Guarantee Your Money’s Safety

Banks typically operate under a national scheme which guarantees the safety of your money. In the UK for example, the Financial Services Compensation Scheme (FSCS) ensures that bank account holders are guaranteed to receive up to 75-85k GBP even if the bank collapses. 

Using online banks, like Transferwise, this is not the case. These are regulated as Electronic Money Institutions and act as middlemen between the customer and the bank. In the event that the bank folds, the customer’s money is not protected. 

Additional Reporting For US Residents

Opening a bank account abroad often requires additional reporting, especially if the account holds a significant amount of funds. 

Therefore, a US resident with a foreign bank account holding more than $10,000 is required to report it to the US government. Additionally, income tax needs to be paid on earnings generated by the account. Keep that in mind if you earn interest for example, on a deposit in an offshore bank account - you will also have to pay federal income taxes.

Conclusion - Open An Offshore Bank Account 

As you can see from the extensive list provided above there are a number of excellent reasons to open an offshore bank account. 

Not only does it provide a greater level of freedom, by reducing your dependence on corporations and governments, but it also reduces your risk. Currency, economies and political situations have a tendency to deteriorate and a bank account abroad is an excellent way to hedge against such catastrophes. 

To learn more about opening a bank account abroad, make sure to download the ESelfKey Wallet and visit the bank accounts marketplace.