Zuger Kantonalbank Launches Crypto Asset Trading and Storageby Fintechnews Switzerland October 3, 2023
The first cantonal bank to offer clients straightforward trading and secure storage of the most common cryptocurrencies. The offering complements its existing investment services and is delivered within a fully regulated banking environment.
As of today, Zuger Kantonalbank clients are able to invest in cryptocurrencies such as Bitcoin, Ethereum, XRP, Litecoin, Polygon and Uniswap. The digital assets can be bought, traded and stored simply and conveniently via the bank’s e-banking or mobile banking services, and are traded in US dollars. Trading takes place from Monday to Friday, between 1.30 a.m. and 10.00 p.m. Naturally, the offering is available to new clients as well.
“For some time now, we’ve seen that the growing demand for cryptocurrencies is no longer coming from professional market participants alone. So, we’re delighted that with immediate effect we can provide our clients with straightforward, convenient as well as safe access to these markets without them having to leave their familiar banking environment. Working with our partners, we’ve created an advanced infrastructure that enables us to offer investors an additional opportunity to diversify,”
says Hanspeter Rhyner, CEO of Zuger Kantonalbank. Transparent, easy access to digital assets
Zuger Kantonalbank set itself the target of making investing in digital assets as easy as possible. Thanks to direct integration into the bank’s mobile and e-banking solutions, clients are able to manage their traditional assets and cryptocurrencies on a one-stop basis. An active custody account with Zuger Kantonalbank is essential for settlement purposes. The trading and storage of cryptocurrencies are based on the same procedures and processes that apply to traditional assets. The documents required for the completion of tax returns will also be available electronically, as usual. And, when selling their cryptocurrencies, clients will have immediate access to the proceeds. In addition, due to direct integration into the e-banking and mobile banking portal, there is no need for the separate storing of digital keys.
Partnerships with Sygnum and Swisscom
For the new offering, Zuger Kantonalbank is using the B2B banking platform provided by Sygnum: Via a single access point, this opens up a broad range of FINMA-regulated banking services for digital assets. The platform’s modular structure enables the regulated trading and storing of cryptocurrencies to be seamlessly integrated into Zuger Kantonalbank’s existing infrastructure.
In terms of the development of the technological platform and infrastructure, Zuger Kantonalbank was supported by
The storing of digital assets is covered by the same strict legal standards that apply to traditional financial transactions. As a regulated bank subject to Swiss law, Sygnum Bank complies with all relevant legal and regulatory obligations on the basis of its robust ALM processes as well as institutional security standards.