PostFinance, the banking arm of the Swiss Post, partnered with Sygnum, a digital asset bank with a Swiss banking license, to offer its 2.5 million customers retail access to cryptocurrency. The regulated crypto products will be provided through Sygnum's banking platform. Customers will be able to buy, store, and sell mainstream cryptocurrencies, including Bitcoin and Ethereum, with more options to be added in the future.
PostFinance made the move after performing customers' needs analysis and discovering a high demand for crypto investment services. The government-owned bank decided to leverage Sygnum's B2B platform to integrate its new offering into its existing infrastructure. Sygnum, boasting "the world's first digital asset bank" title, seemed like an obvious choice, considering its long-term experience in the crypto industry, solid and scalable infrastructure, and Swiss heritage.
It isn't the first PostFinance's venture into the crypto domain, though. The bank started offering clients access to blockchain-based currencies already in 2021 through its digital app Yuh, launched in partnership with an online trading platform Swissquote. The initiative was motivated by declining performance and growing competition from new local challengers as well as traditional banks expanding their digital services offer. After dipping its toes in the crypto waters, PostFinance decided to dive deeper into the industry to keep up the momentum and get ahead of the competition.
"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. A reputable and established partner like Sygnum Bank with an excellent service offering is more important than ever," said Philipp Merkt, Chief Investment Officer of PostFinance, in a press release.