One of Switzerland’s largest banks, and a wholly state-owned entity, is introducing the ability for its customers to buy Bitcoin and other cryptocurrencies, thanks to a partnership with Sygnum.
Switzerland aware of the nature of cryptocurrencies
The wholly-owned Swiss government-owned bank is introducing a range of cryptocurrency services through its B2B banking platform Sygnum. This partnership will enable PostFinance customers to buy, store and sell popular cryptocurrencies such as Bitcoin and Ethereum. According to the announcement, PostFinance serves more than 2.5 million customers and is the fifth largest financial company in Switzerland.
Sygnum’s Chief B2B Officer, Fritz Jost, explained that this partnership shows how digital assets are becoming an integral part of the financial landscape in Switzerland. In his words:
“Switzerland as an investment ecosystem offers a number of strategic advantages, including regulatory clarity for cryptocurrencies and off-balance sheet segregation of cryptocurrency assets that eliminates credit risk.”
According to Sygnum representatives, the partnership with PostFinance is an important and fully regulated step towards increasing cryptocurrency adoption. PostFinance has decided to introduce cryptocurrency services in response to growing customer demand for digital investment services.
Is Switzerland becoming a cryptocurrency powerhouse?
Sygnum Bank, a state-of-the-art B2B banking solution, gives existing financial institutions the opportunity to offer cryptocurrency-related products and services to their customers. PostFinance thus becomes one of more than a dozen banking partners.
PostFinance’s Chief Investment Officer, Philipp Merkt, emphasizes that “digital assets are an integral part of the financial world, and customers expect their trusted bank, such as PostFinance, to have access to the cryptocurrency market”. In a statement, he also points out that “a reputable partner like Sygnum Bank, with an excellent service offering, is now more important than ever”.
Switzerland has been associated with private wealth management and secure banking since the 18th century, and its history of neutrality and anonymous bank accounts has always been a valuable asset. Vaults full of gold and banknotes have been a symbol of the country’s wealth. It is estimated that the fortunes held in them are worth around $2.5 trillion, or about a third of the total value of private funds. Now, with the rise of cryptocurrencies, Switzerland is developing as a centre for crypto-finance, while still retaining its qualities of security and trust.
Post Finance with staking services
However, that is not all that the new partnership results in. From now on, Post Finance customers will be able to participate in the cryptocurrency staking process. This is because Sygnum Bank enables the staking of coins such as Ethereum – the second largest cryptocurrency in terms of market capitalisation – as well as Cardano (ADA), Internet Computer (ICP) and Tezos (XTZ).