- Sygnum Bank announced the extension of its support for digital assets.
- On Friday, the Switzerland-regulated institution stated that it has become the first Swiss bank to fully integrate Sui (SUI) in its platform.
- The move expands the reach of the token and its underlying tech to professional and institutional investors.
Sui Integration in Sygnum Bank Offerings
According to its press release, Sygnum has launched custody, trading, and lending solutions based on the SUI layer-one (L1) crypto. Since last month,these have been available to its vast clientele, including financial institutions, banks, asset managers, and high-net-worth individuals.
The bank’s new service opens customers’ access to spot and derivatives trading, complemented by traditional securities. It will also introduce SUI staking for yield generation and SUI-collateralized Lombard Loans soon.
Mathias Imbach, co-founder and CEO of Sygnum, signified their bank’s support in the rapid merger of digital assets and regulated financial systems. He believes the partnership will further help Sui’s token and underlying technology grow.
“Sygnum’s unique understanding of digital assets sits at the intersection of the rapidly converging digital asset and regulated financial ecosystems,” said Imbach. “We are excited to support the Sui Foundation in developing the future-proof, opportunity-ready treasury it needs to continue its growth trajectory.”
Meanwhile, Christian Thompson, Managing Director of the Sui Foundation, highlighted the importance of their organization’s strategic alliance with Sygnum, especially for the Sui ecosystem.
“Broadening institutional access to the Sui ecosystem further expands Sui’s reach to the global institutional investor community,” remarked Thompson. “Sygnum’s crypto-native team, end-to-end regulated offering, and trusted infrastructure make them our ideal banking partner as we continue to build and scale.”
Why This Matters
Sui’s strength lies in the strong fundamentals of its network and value proposition. As Austin Arnold of Altcoin Daily claimed, its chain holds immense potential because it houses the performance and infrastructure critical in meeting the rising demand within the blockchain and artificial intelligence (AI) sectors.
At the end of July, Mill City Ventures, a Nasdaq-listed company, disclosed its accumulation of almost half a billion dollars worth of the token for its short-term lending, structured finance solutions, and treasury reserves. The latter aligns with the growing trend of institutions adopting Bitcoin (BTC) and reputable altcoins to hedge their wealth against inflation and economic uncertainties.
Sui’s integration in Sygnum’s network will significantly accelerate its adoption. Sui’s off-balance-sheet and bankruptcy-remote structure gives the bank’s clients more options in diversifying their assets. Additionally, Sui’s linkage with a Swiss-regulated financial provider enhances its credibility, eventually translating to more trust and confidence across its user base and potential investors.
Ultimately, the partnership establishes Sui’s status as one of the leading and trusted L1 chains bridging decentralized finance (DeFi) with traditional financial systems.
Disclaimer: The views and facts presented herein should not be construed as financial advice or product recommendation from the author and the Blockzeit team.
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