Switzerland’s Swissquote Adds New Crypto Custodian Product Offering To Rival Dukascopy
Swissquote Expands Crypto Offerings
Switzerland’s cryptocurrency industry seems to be growing. One company, Swissquote Group, is now looking to grow its cryptocurrency offering with a new custody service.
The company developed the venture to combat against the barriers that have prevented institutional investors from investing in digital assets and to also minimize risk of theft and optical errors. The new service is a combination of the company’s experience of online trading and its ability to provide digital asset security. Investment houses that are interested in acquiring exposure to asset classes may find the platform to be useful.
The company has also shortlisted two Swiss companies, Crypto Finance and Taurus, that may be able to provide infrastructure and an operational framework. These qualities can safeguard cryptocurrency holders.
The company is also taking advantage of its “digital” experience. Before establishing the new platform, the company has worked to create an algorithm-driven system that appeals to investors looking for exposure to digital assets, but who do not want to be exposed to risks such as hacking attacks and access key management. The risks are a real issue – many crypto wallets and exchanges have been hacked and consumer data compromised.
Additionally, the banking group recently became the first bank in the world to provide its customers with the ability to participate in ICOs using an online platform. The platform’s crypto offering also enables users to deposit and withdraw funds and it also allows for free internal crypto transfers.
As for the bank’s own efforts, it filed for approval of an ICO with FINMA. The filing is for the establishment of two cryptocurrencies, called Dukascoins and Dukasnotes. The former will be a method of payment and have a limited supply and the latter will be a stablecoin.
These developments show that the cryptocurrency arenea in Switzerland is becoming more competitive. However, there are still some outlines – several banks are avoiding engaging with cryptocurrency companies. On the bright side, the avoidance has been scrutinized.