BoursoBank Opens the Doors to Institutional Bitcoin (BTC) and Ethereum (ETH) Investors

Finally, the wall of distrust is crumbling. BoursoBank, a French giant of online banking, takes a historic step by integrating crypto ETPs into its offering.

French online banking giant BoursoBank, a subsidiary of Société Générale, is taking a historic step by integrating crypto ETPs from CoinShares into its offering. This marks a surprising yet logical move for the bank, which has been known for its distance from digital assets.

Despite rumors of the bank's interest in crypto in 2023, it had previously appeared more focused on traditional investment products. However, recent data reveals a strong performance from BoursoBank in 2024, with 7 million clients and an impressive record in the first half of the year.

This success might be a factor behind the bank's decision to diversify its portfolio. In May 2024, CoinShares announced an agreement with BoursoBank for the distribution of five crypto ETPs, including three with staking rewards of up to 3% annually.

These ETPs, from the "CoinShares Physical" range, are already listed on Euronext and offer investors a familiar and regulated framework for investing in cryptocurrencies. The partnership also focuses on trust, which is crucial for mainstream adoption.

CoinShares, a European leader in crypto ETPs, is known for its physical replication strategy, which ensures that the ETPs are fully backed by the underlying cryptocurrencies. These assets are securely held by Komainu, an independent digital asset custody joint venture.

"If a client invests 50 million euros today, we buy the cryptos in real time and they are credited to the ETPs. This is a continuous chain of verification that is performed by a third party, ensuring the ultimate traceability," explains Jérôme Castille, Head of Institutional Sales at CoinShares.

In the case of CoinShares' bankruptcy, investors can rest assured that their crypto assets will not be affected. Moreover, the ETPs are covered by the French Deposit and Guarantee Fund (FGDP) for up to 100,000 euros per investor, in accordance with European regulations.

This partnership between BoursoBank and CoinShares signals a broader trend in Europe, where institutional investors are increasingly interested in diversifying their portfolios with cryptocurrencies.

As a subsidiary of Société Générale, BoursoBank brings its expertise and experience in serving a large clientele with diverse financial needs. The bank is known for its competitive rates, which start at 0.25% for the Bitcoin ETP, and the fact that it charges no fees on the staked products.

This integration of crypto ETPs into BoursoBank's offering marks a significant moment for the French market. It will allow individuals to diversify their PEA or securities account with hybrid products that combine traditional stock market practices and blockchain technology.