ZKB, the Fourth-Largest Swiss Bank, Introduces Cryptocurrency Trading and Custody Services – DL News

Zurich Cantonal Bank, ranked as the fourth largest bank in Switzerland, is now providing its customers with services to trade and safeguard Bitcoin and Ethereum.

Clients are able to access these services through the bank’s existing platforms such as ZKB eBanking and ZKB Mobile Banking, enabling 24/7 cryptocurrency transactions, as per the information in a press statement.

“The cryptocurrency solutions we have just begun offering are designed to provide robust security and accommodate the addition of more currencies and applications,” said Alexandra Scriba, the division head for institutional clients & multinationals at ZKB.

She emphasized that users are not required to possess individual wallets or manage the security of their private keys, since these aspects are managed by the bank itself.

These services are also available to other banking institutions, with Thurgauer Kantonalbank currently implementing ZKB’s crypto solutions as mentioned in the statement.

For the purpose of managing cryptocurrency transactions, ZKB has partnered with Crypto Finance AG, which is part of the Deutsche Börse Group.

ZKB has a history of engagement with blockchain technology. In 2021, it participated in the creation of the first-ever digital bond on the SIX Digital Exchange and in 2023, it served as a joint lead manager during the issuance of digital bonds with digital central bank money within an experimental framework by the Swiss National Bank.

ZKB’s move into digital asset services reflects a broader trend among Swiss banks in the adaptation and integration of digital technologies.

In related news, July reports disclosed that Sygnum, a Swiss-based global cryptocurrency bank boasting approximately $4.5 billion in client assets, achieved profitability after experiencing substantial growth in the first half of the year. Key performance indicators exhibited significant year-to-date growth, as DL News reported.

The bank reported a doubling of cryptocurrency trading volumes, a fivefold increase in derivatives trading, and a 360% rise in lending volumes compared with the corresponding period from the previous year. However, actual figures for the first-half profits were not disclosed.