Switzerland’s Zürcher Kantonalbank (ZKB) Expands Its Offerings by Introducing Trading and Custody Services for Bitcoin and Ethereum

The bank revealed the development in a press release, stating that its customers can trade and store Bitcoin (BTC) and Ethereum (ETH) starting today.

Switzerland’s fourth-largest bank, Zürcher Kantonalbank (ZKB), has announced the launch of trading and custody services for Bitcoin and Ethereum.

According to a press release, customers of the bank will be able to trade and store Bitcoin (BTC) and Ethereum (ETH) starting today. While the financial institution is initially offering support for only BTC and ETH, it hinted at plans to integrate other assets in the future.

“Bitcoin and Ethereum are available for the time being […] Our newly launched offer in the area of cryptocurrencies offers a high level of security and allows the integration of additional currencies,” the bank said in a statement.

The new services have been integrated into the bank's existing channels, including ZKB Mobile Banking and e-Banking platforms, as per the announcement. This will allow customers to access the newly added services directly from familiar platforms.

Importantly, ZKB highlighted that it will provide secure storage of private keys, eliminating the need for customers to set up their wallets.

The service is also available to other Swiss-based banks through ZKB's B2B solution, enabling third-party Swiss banks to offer crypto trading and custody services to their clients. Notably, Thurgauer Kantonalbank has already partnered with ZKB to adopt the service.

For context, Zürcher Kantonalbank ranks as the fourth largest bank in Switzerland. In May, GlobalBank reported that ZKB had CHF 192 billion ($225.7 billion) in assets under management (AUM).

ZKB Deepens Ties with Cryptos

ZKB's latest offering further expands its foray into the crypto industry. The bank has been exploring opportunities in the burgeoning market since 2021 when it participated in issuing the first digital bond on the Zurich-based exchange SIX.

Two years later, Zürcher Kantonalbank co-led the issuance of digital bonds with central bank digital currency (CBDC). This initiative is part of the Swiss National Bank’s (SNB) digital currency pilot project.

Swiss Banks Offer Crypto Services

The newly introduced service confirms that traditional financial institutions are pivoting toward cryptocurrencies. It bears mentioning that the majority of these banks are based in Switzerland due to its crypto-friendly regulations.

In 2022, Bank Syz introduced crypto trading and custody services for four major cryptocurrencies: Bitcoin, Ethereum, Polygon, and Chainlink.

Moreover, Zuger Kantonalbank followed a similar approach, launching digital assets services for six cryptos, including XRP and BTC.