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(Kitco News) - The gulf between U.S. banks and their overseas counterparts in how they approach the cryptocurrency industry continues to widen as PostFinance, a retail bank fully owned by the Swiss government, is in the process of enabling cryptocurrency trading and custody services for its clients.
PostFinance, which is one of Switzerland's largest retail banks, has announced a new partnership with Sygnum, the world’s first digital asset bank, to offer its customers “a range of regulated digital asset banking services via Sygnum's B2B banking platform.”
Through the partnership, PostFinance will be able to offer bank-grade digital asset products and services to its customers, meaning they will be able to buy, store and sell several top-ranking cryptocurrencies, including Bitcoin (BTC) and Ethereum (ETH).
“PostFinance has analysed its customers’ investment needs and uncovered a strong demand for digital investment services,” the announcement said. “By leveraging Sygnum's B2B banking platform, PostFinance will seamlessly integrate this new offering into its existing infrastructure from the outset.”
The crypto services are provided through Sygnum’s institutional business-to-business (B2B) platform, which provides banks with market entry to regulated and compliant digital products. There are currently more than 15 partner banks in the B2B network.
Along with providing access to a range of cryptocurrencies, the partnership also offers bank users access to revenue-generating services such as staking on an ongoing basis. While European banks are enabling services like staking for their clients, authorities in the U.S. are still debating the classification of different tokens and whether or not staking makes a token a security.
Sygnum is one of the few banks in the world that is a fully regulated digital asset specialist with a Swiss banking license, making it one of the few secure bridges between traditional finance and digital assets.
“Our all-in-one B2B banking platform enables our fifteen-plus B2B partner banks to expand their range of regulated digital asset services at scale and speed,” said Fritz Jost, Chief B2B Officer at Sygnum Bank. “We are pleased to empower PostFinance to deliver institutional-grade digital asset services to their customers.”
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PostFinance was founded in 1906 and serves as the financial services unit of Swiss Post, Switzerland’s national post service. This latest move comes as the bank has received an influx of requests from clients who want access to the cryptocurrency market.
“Digital assets have become an integral part of the financial world, and our customers want access to this market at PostFinance, their trusted principal bank,” said Philipp Merkt, Chief Investment Officer of PostFinance Ltd. “A reputable and established partner like Sygnum Bank with an excellent service offering is more important than ever.”
This is not PostFinance’s first foray into the world of crypto. In September 2021, the bank launched its own series of digital collectibles linked to physical stamps – known as Crypto Stamp 1.0 – and in July 2022, it announced that it was building its own crypto custody platform.
Swiss Post recently revealed that the launch of Crypto Stamp 3.0, which is a new crypto stamp that features physical and non-fungible token versions integrated with artificial intelligence technology, is scheduled to go on sale beginning May 2.
